Saudi Arabia is set to raise December crude oil prices for Asian buyers, according to a survey of refiners conducted by Reuters.
The leading oil exporter is expected to raise the price of its Light Arab crude to $0.90 per barrel over Platts’ Oman-Dubai benchmark price in the Asian markets, Reuters reports. This would be the highest premium on the Oman-Dubai benchmark price for Arab Light since September 2014.
Prices for heavier grades are also expected to rise. The survey indicated that refiners expect the Asian price of Saudi Arabia’s Arab Heavy to rise to $1.30 below the Oman-Dubai average, indicated a tightening of the oil market in Asia.
Over the past several years, Saudi Arabia has been offering a significant discount on its Arab Heavy. The last time the discount dipped under $1.30 was in December 2013, according to Reuters.