Spot prices are higher than those in future months in a backwardated market.Asia’s incremental demand for September-loading Middle East crude weakened last month with several North Asian refineries scheduled to shut for maintenance during their autumn season.Asia’s incremental demand for September-loading Middle East crude weakened last month with several North Asian refineries scheduled to shut for maintenance during their autumn season.Saudi Arabia’s crude OSPs are usually released around the fifth of each month, and set the trend for Iranian, Kuwaiti and Iraqi prices, affecting more than 12 million barrels per day (bpd) of crude bound for Asia.Strong fuel oil margins, however, are likely to support prices for heavier grades that produce more of the residual fuel, survey respondents said. (Photo: File)SINGAPORE: Top oil exporter Saudi Arabia may cut prices for most of the crude grades it sells to Asia for a second straight month in September after Middle East benchmark prices weakened.

End-ofTags: oil exporter, crude oil.Two of the five respondents expect Arab Heavy crude’s OSP to stay unchanged in September, while most of the respondents said Arab Medium’s September OSP could fall by 20-40 cents a barrel.State oil giant Saudi Aramco sets its crude prices based on recommendations from customers and after calculating the change in the value of its oil over the past month, based on yields and product prices.The cuts would track a backwardation between prompt and third month Dubai prices that narrowed by 70 cents a barrel in July versus June.Saudi Aramco officials as a matter of policy do not comment on the kingdom’s monthly OSPs.“Fuel oil cracks rallied the most,” one of the respondents said, adding that this could lead to smaller price adjustments for Arab Medium and Arab Heavy crude versus light grades.The official selling price (OSP) for flagship Arab Light crude single screw barrel Manufacturers could drop by at least 50 cents a barrel, falling below a premium of USD 2 a barrel for the first time in four months, a Reuters survey of five buyers in Asia showed.

Spot prices are higher than those in future months in a backwardated market.Asia’s incremental demand for September-loading Middle East crude weakened last month with several North Asian refineries scheduled to shut for maintenance during their autumn season.Asia’s incremental demand for September-loading Middle East crude weakened last month with several North Asian refineries scheduled to shut for maintenance during their autumn season.Saudi Arabia’s crude OSPs are usually released around the fifth of each month, and set the trend for Iranian, Kuwaiti and Iraqi prices, affecting more than 12 million barrels per day (bpd) of crude bound for Asia.Strong fuel oil margins, however, are likely to support prices for heavier grades that produce more of the residual fuel, survey respondents said. (Photo: File)SINGAPORE: Top oil exporter Saudi Arabia may cut prices for most of the crude grades it sells to Asia for a second straight month in September after Middle East benchmark prices weakened.

End-ofTags: oil exporter, crude oil.Two of the five respondents expect Arab Heavy crude’s OSP to stay unchanged in September, while most of the respondents said Arab Medium’s September OSP could fall by 20-40 cents a barrel.State oil giant Saudi Aramco sets its crude prices based on recommendations from customers and after calculating the change in the value of its oil over the past month, based on yields and product prices.The cuts would track a backwardation between prompt and third month Dubai prices that narrowed by 70 cents a barrel in July versus June.Saudi Aramco officials as a matter of policy do not comment on the kingdom’s monthly OSPs.“Fuel oil cracks rallied the most,” one of the respondents said, adding that this could lead to smaller price adjustments for Arab Medium and Arab Heavy crude versus light grades.The official selling price (OSP) for flagship Arab Light crude single screw barrel Manufacturers could drop by at least 50 cents a barrel, falling below a premium of USD 2 a barrel for the first time in four months, a Reuters survey of five buyers in Asia showed.

Spot prices are higher than those in future months in a backwardated market.Asia’s incremental demand for September-loading Middle East crude weakened last month with several North Asian refineries scheduled to shut for maintenance during their autumn season.Asia’s incremental demand for September-loading Middle East crude weakened last month with several North Asian refineries scheduled to shut for maintenance during their autumn season.Saudi Arabia’s crude OSPs are usually released around the fifth of each month, and set the trend for Iranian, Kuwaiti and Iraqi prices, affecting more than 12 million barrels per day (bpd) of crude bound for Asia.Strong fuel oil margins, however, are likely to support prices for heavier grades that produce more of the residual fuel, survey respondents said. (Photo: File)SINGAPORE: Top oil exporter Saudi Arabia may cut prices for most of the crude grades it sells to Asia for a second straight month in September after Middle East benchmark prices weakened.

End-ofTags: oil exporter, crude oil.Two of the five respondents expect Arab Heavy crude’s OSP to stay unchanged in September, while most of the respondents said Arab Medium’s September OSP could fall by 20-40 cents a barrel.State oil giant Saudi Aramco sets its crude prices based on recommendations from customers and after calculating the change in the value of its oil over the past month, based on yields and product prices.The cuts would track a backwardation between prompt and third month Dubai prices that narrowed by 70 cents a barrel in July versus June.Saudi Aramco officials as a matter of policy do not comment on the kingdom’s monthly OSPs.“Fuel oil cracks rallied the most,” one of the respondents said, adding that this could lead to smaller price adjustments for Arab Medium and Arab Heavy crude versus light grades.The official selling price (OSP) for flagship Arab Light crude single screw barrel Manufacturers could drop by at least 50 cents a barrel, falling below a premium of USD 2 a barrel for the first time in four months, a Reuters survey of five buyers in Asia showed.

The oil for delivery in August contracts also fell by Rs 53, or 1.end-ofTags: crude oil, multi commodity exchange, brent crude, west texas intermediateLocation: India, Delhi, New Delhi.On the Multi Commodity Exchange, crude for delivery in July contracts was trading lower by Rs 58, or 1.11 per cent to USD 62.New Delhi: Crude oil futures on Wednesday eased by Rs 58 to Rs 3,889 per barrel as speculators reduced their exposure despite a firm trend overseas.21 per cent to USD 56.33 per cent, to Rs 3,918 a barrel in 695 lots.On the Multi Commodity Exchange, crude for delivery in July contracts was trading lower by Rs 58 at Rs 3,889.However, West Texas Intermediate (WTI) crude was trading up by 0.47 per barrel in New York.37, while Brent crude, the international benchmark, was up 0.47 per cent, at Rs 3,889 per barrel China pipe screw barrel Factory in a business turnover of 21,389 lots.The oil for delivery in August contracts also fell by Rs 53, or 1.33 per cent, to Rs 3,918 a barrel in 695 lots.

Its oil bill has dropped dramatically and this, in turn, has lowered the current account deficit and helped to cut the fiscal deficit. Even the banks have stopped giving these companies money knowing that they will never be able to return the same. The economies of these oil-producing countries were in the doldrums and many of them had to China granulation screw barrel Suppliers raise taxes as oil income literally collapsed as the price went down to $20 a barrel from a peak of $120. With 59 oil and gas companies in the US filing for bankruptcy and several others in the bankruptcy pipeline, it looks like Saudi Arabia is winning the oil war it declared on the US last year. India, one of the largest oil importers, stands to gain as it has since the past year. With current oil prices ruling at around $45 per barrel, it is difficult for the US companies to survive, leave alone compete. It is reported that the number of closures could exceed the 68 declared by the telecom companies when they went bust in 2002-03. The situation looks extremely bleak for shale oil producers as the Saudis are not likely to relent in the near future until they put the US shale companies out of business.

In recent months the Iranians, against whom the US had lifted the trade embargo, insisted on selling their oil in the market to rebuild their economy, and they too would not cooperate with Opec. The government’s subsidy to oil marketing companies has also come down and it must make the best of this situation to strengthen economic growth and build up oil reserves.6 million barrels per day. Last year, it looked like the Saudis were losing the war as US shale oil flooded the global markets, bringing down the price of oil to barely survival levels for the Middle East oil-producing countries. According to reports, it costs the Saudis barely $10 to extract a barrel of oil whereas for the Americans the break-even point is $60-$70.end-of. All efforts by the oil-producing states that comprise Opec to control production so that prices could stabilise were in vain as Saudi Arabia, the largest producer, refused to cut production. But last November Saudi Arabia, which has always been seen as a “swing state” to stabilise prices, flooded the markets by boosting their output to 10. So even mergers of these companies, which had sprouted when the going was good, are not possible because they will not get the funds to finance mergers and acquisitions.In this scenario, where two oil giants are at war, oil-consuming and importing countries stand to benefit. Prices are expected to stabilise around current levels for some time. The good news is that these comparatively low prices stand to last for a while longer.With 59 oil and gas companies in the US filing for bankruptcy and several others in the bankruptcy pipeline, it looks like Saudi Arabia is winning the oil war it declared on the US last year.