Saudi Arabia has unexpectedly lowered its November crude oil official selling prices (OSPs) for Asian buyers to levels not seen in roughly six years, according to a pricing document reported by Reuters. The reduction countered earlier market expectations from a Reuters survey, which had anticipated an increase of up to $5 a barrel in tandem with regional benchmark strength.
Under the new pricing structure, state oil producer Saudi Aramco set its November Arab Light crude OSP for Asian destinations at $5 a barrel below the Oman and Dubai benchmark average, representing a $3 decrease from October levels. Reuters data confirmed this price gap represents the widest discount against the Oman/Dubai benchmark since June 2020.
Aramco also implemented sharp price cuts for heavier crude grades shipped to Asian markets, reducing the November OSPs for Arab Medium and Arab Heavy by $5 a barrel. In contrast, the company raised November OSPs for northwest Europe by $3 across all grades, raised prices for the Mediterranean, and held selling prices to the United States unchanged.
According to Asian refining sources cited by Reuters, the unexpected Asian discounts appear aimed at compensating regional refiners for surging shipping and tanker charter rates while helping Saudi Arabia defend its Asian market share.
Sources
- Gulf Business · 2026-10-05
