Riyadh – Mubasher: The Saudi Arabian Oil Company (Saudi Aramco) has slashed crude oil supplies for February to some Asian refiners by up to a quarter, informed sources told Reuters on Wednesday.
This move comes after the kingdom committed to cutting its oil production by 1 million barrels per day (bpd) in February and March under a deal between the Organization of the Petroleum Exporting Countries (OPEC) and its allies including Russia, a group known as OPEC+.
Most OPEC+ producers pledged to hold production steady in the face of pandemic.
Allocations for three Indian refiners have been reduced between 15% and 26% for February, while two North Asian refiners have obtained a 10% supply reduction from the oil giant, the sources added.
Aramco recently raised its February official selling price (OSP) for its Arab Light crude to Asia by $0.70 per barrel, setting it at plus $1 per barrel versus the Oman/Dubai average.