SINGAPORE: Saudi Aramco has kept the November official selling price (OSP) for its Arab Light grade for Asian customers unchanged from October, three sources with knowledge of the matter said on Thursday, against expectations of a small price hike.
The move took traders by surprise as the world’s top exporter had been expected to raise prices slightly to track gains in Middle East price benchmarks last month.
Traders have been bracing for possibly larger price hikes following Wednesday’s agreement by OPEC+ oil producers - which include members of the Organization of the Petroleum Exporting Countries and allies including Russia - to slash output by 2 million barrels per day.
Saudi Aramco set the November OSP for Arab Light to Asia at a premium of $5.85 a barrel to the Oman/Dubai average, the sources said.
The producer also kept the November OSP for Super Light crude unchanged while trimming the price for Arab Extra Light crude by 10 cents, the sources said.
Saudi Aramco raised prices for Arab Medium and Arab Heavy crude in November by 25 cents from the previous month, the sources said.
Saudi Energy Minister Abdulaziz bin Salman said on Wednesday the real supply cut stemming from the OPEC+ agreement would amount to about 1 million to 1.1 million bpd in a response to rising global interest rates and a weakening world economy.