Saudi price shift weighs on demand

摘要

Saudi Aramco’s move to expand its market share by sharply reducing prices and boosting production is depressing demand for west African crude in Asia-Pacifc. The pricing outlook for sweet west African cargoes appears thin, after Saudi Aramco decided to food the market with cut-price sour crudes, sinking global benchmarks and prompting Asian refners to revaluate their purchasing strategies. Sellers fear that buyers in Asia-Pacifc will increase their intake of sour crude from the Mideast Gulf at the expense of west African grades.