Saudi Aramco will reduce heavy crude supplies to Asia in April

Saudi Aramco will cut supplies of heavy crude to Asia in April due to field maintenance, according to Oil Price website. Saudi Arabia recently raised its official crude prices for Asian buyers in April after the Opec + production cut agreement was extended into the first half of the year.

Aramco's official price for Arab light crude was raised by $0.2 a barrel, meaning its April delivery price will be $1.7 a barrel higher than the average Oman/Dubai crude price. At the same time, Saudi Aramco lowered its selling price to European buyers by $0.6 to $0.7 per barrel. Selling prices for American buyers were little changed.

Recently, Opec + agreed to extend the production cut deal, mainly because of expectations of weak demand growth and additional supply from non-OPEC producers can meet most of the additional demand this year. The extension, which included an extension of 1 million barrels per day of additional voluntary production cuts by Saudi Arabia, was widely expected but failed to have any impact on oil prices.