Saudi Aramco has assured at least four North Asian consumers that it will supply all contracted volumes of petroleum in September, Reuters reported referencing unidentified sources who have knowledge of the matter.
Despite sliding refining profits, the largest oil exporter in the world increased official selling prices (OSPs) to Asian buyers to record-high levels for the month.
“People will receive what they requested,” said a trader based in Singapore. “No cut from Saudi and no one asked for extra volumes, as demand is weakening but oil prices are too high.”
This week, the profit margins of Asian refineries that use Dubai crude were $3.75 per barrel, down from a high of $30.49 two months earlier.
The Organization of Petroleum Exporting Countries and its partners (OPEC+) made the decision to increase their oil output beginning in September, albeit by just 100,000 barrels per day.