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SINGAPORE / Reuters
Saudi Aramco has raised the price of its Arab Light grade for Asian customers for loading in November by 30 cents versus the previous month to a premium of 60 cents a barrel to the average of Oman and Dubai quotes, a source familiar with the matter said on Wednesday. It also raised prices for two other light grades, Arab Super Light and Arab Extra Light, he said.
The price hike, in line with a stronger Middle East crude benchmark Dubai, could support demand for December-loading cargoes that will trade this month, as refiners turn to the spot market for incremental supplies, traders said.
Some traders had expected Saudi Aramco to temper price hikes by taking into account the strength in the prices of Oman crude, which makes up half of the benchmark that Saudi grades are marked against, and to reflect weaker naphtha margins.
Saudi Aramco also trimmed November prices for Arab Medium and Arab Heavy crude, the first source said, tracking weaker fuel oil margins.
Some traders had expected Saudi Aramco to keep prices of the heavier grades unchanged or raise them slightly.