Saudi Arabia News: Oil War in Second Month With Prices for May - Bloomberg:
Vanishing demand and alternative grades at never-seen-before prices are fueling expectations that Saudi Aramco will need to price its crude at aggressively low levels this month to keep its customers satisfied.
The world’s biggest oil exporter is due to announce its official selling prices for May shipments this Sunday. It comes a month after the kingdom discounted April supplies by the most in at least 20 years as it embarked on a price war with Russia that sent oil markets into a tailspin.
Where to pitch prices will be a tricky balancing act for Saudi Arabia. Set them too high and customers will buy as little as their term contracts allow against a backdrop of weak demand and rapidly filling storage tanks. If they’re too low, however, the self-inflicted pain of the price war could become intolerable.
Asian refiners are being spoiled for choice due a flood of cheap crude from the U.S. and Russia. Varieties such as West Texas Intermediate, Mars and Urals are being offered and sold at sharp discounts, according to six officials and traders from processors across the region. The relative strength of Middl
Vanishing demand and alternative grades at never-seen-before prices are fueling expectations that Saudi Aramco will need to price its crude at aggressively low levels this month to keep its customers satisfied.
The world’s biggest oil exporter is due to announce its official selling prices for May shipments this Sunday. It comes a month after the kingdom discounted April supplies by the most in at least 20 years as it embarked on a price war with Russia that sent oil markets into a tailspin.
Where to pitch prices will be a tricky balancing act for Saudi Arabia. Set them too high and customers will buy as little as their term contracts allow against a backdrop of weak demand and rapidly filling storage tanks. If they’re too low, however, the self-inflicted pain of the price war could become intolerable.
Asian refiners are being spoiled for choice due a flood of cheap crude from the U.S. and Russia. Varieties such as West Texas Intermediate, Mars and Urals are being offered and sold at sharp discounts, according to six officials and traders from processors across the region. The relative strength of Middl
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