Saudi Cut Oil Prices in Sign - Bloomberg:
Saudi Arabia cut pricing for oil sales to Asia and the U.S. for October shipments, a sign that the world’s biggest exporter may see fuel demand wavering amid flare-ups in the coronavirus.
State oil producer Saudi Aramco is cutting its benchmark Arab Light crude more than expected and lowering the grade to a discount for the first time since June for buyers in Asia. It’s the second-consecutive month of cuts for barrels to Asia. Aramco will also trim pricing for lighter barrels to northwest Europe and the Mediterranean region.
Aramco is reducing pricing to Asia for October shipments of the Light grade by $1.40 a barrel, to 50 cents below the regional benchmark. The company was expected to pare pricing by $1 a barrel, to a 10-cent discount, according to a Bloomberg survey of eight traders and refiners.
Oil demand has plunged this year as the pandemic forced governments to lock down economies, airlines to cancel fights and workers to stay at home. Saudi Arabia joined with Russia and other producers in the OPEC+ coalition to make record cuts in production, taking about a 10th of global supply off the market. Crude prices have more than doubled since April to around $45 a barrel but are still down more than 30% this year.
Saturday 5 September 2020
#Saudi Aramco is rethinking its global ambitions - CNN
Saudi Aramco is rethinking its global ambitions - CNN:
The coronavirus pandemic is upending the energy industry and pushing its top players to make big changes. That includes Saudi Aramco, the world's largest and most profitable oil producer.
The dramatic crash in prices this year is weighing on Saudi Arabia's state oil giant, which relies on pumping crude to generate the cash it needs to pay dividends to investors and finance a big chunk of government spending.
Now, Aramco may be forced to do what was once unthinkable: abandon deals and sell assets. First on the block could be its plan to build a network of refineries in the world's biggest markets in a bid to extract more value from each barrel of crude it pumps.
Deals to get into the refining business in China and India — two of the world's biggest energy consumers — appear to have been put on hold in recent weeks. On Wednesday, media reports suggested that Aramco would also delay the expansion of a major refinery in the United States.
The coronavirus pandemic is upending the energy industry and pushing its top players to make big changes. That includes Saudi Aramco, the world's largest and most profitable oil producer.
The dramatic crash in prices this year is weighing on Saudi Arabia's state oil giant, which relies on pumping crude to generate the cash it needs to pay dividends to investors and finance a big chunk of government spending.
Now, Aramco may be forced to do what was once unthinkable: abandon deals and sell assets. First on the block could be its plan to build a network of refineries in the world's biggest markets in a bid to extract more value from each barrel of crude it pumps.
Deals to get into the refining business in China and India — two of the world's biggest energy consumers — appear to have been put on hold in recent weeks. On Wednesday, media reports suggested that Aramco would also delay the expansion of a major refinery in the United States.
Revealed: the impact of an expat exodus on #Oman's property market - Arabianbusiness
Revealed: the impact of an expat exodus on Oman's property market - Arabianbusiness:
Lower oil prices and the impact of the Covid-19 pandemic will continue to challenge Oman’s economy and real estate sector, according to experts.
Real estate consultancy Savills said it expects to see increasingly challenging economic conditions and an acceleration of the exodus of the expatriate population.
It said market conditions in both the residential and office space rental sectors in Muscat were already in slowdown/recession prior to the Covid-19 pandemic.
"The impacts of the Covid-19 pandemic and lower oil prices will place both the residential and office space rental sectors in Muscat under further pressure over the coming months," it added.
Lower oil prices and the impact of the Covid-19 pandemic will continue to challenge Oman’s economy and real estate sector, according to experts.
Real estate consultancy Savills said it expects to see increasingly challenging economic conditions and an acceleration of the exodus of the expatriate population.
It said market conditions in both the residential and office space rental sectors in Muscat were already in slowdown/recession prior to the Covid-19 pandemic.
"The impacts of the Covid-19 pandemic and lower oil prices will place both the residential and office space rental sectors in Muscat under further pressure over the coming months," it added.
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