Saudi Aramco has reduced its crude oil prices for Asian buyers for April, marking the first price cut in three months. The adjustment aligns with market expectations and follows OPEC+’s decision to gradually increase oil output, beginning this month.
According to an official statement, the official selling price (OSP) for Arab Light crude has been lowered by 40 cents, now standing at $3.50 per barrel above the Oman and Dubai crude average. This follows a 12-month high of $3.90 per barrel recorded last month.
Other Saudi crude grades also saw price reductions. The OSP for Arab Extra Light is now $3.30 per barrel, while Arab Super Light is set at $4.05 per barrel. The price for Arab Medium crude has been cut to $2.95 per barrel, and Arab Heavy crude now stands at $1.80 per barrel. For North American buyers, Aramco set the Arab Light OSP at $3.80 per barrel above the Argus Sour Crude Index for March.
The price adjustment follows OPEC+’s decision to increase oil production by 138,000 barrels per day starting in April, marking the first output hike since 2022. Meanwhile, Russian and Iranian oil exports to China have increased, with non-sanctioned tankers capitalizing on profitable market conditions, helping to stabilize supply.
Saudi Aramco classifies its crude oil into five grades based on density: Super Light (above 40), Extra Light (36-40), Light (32-36), Medium (29-32), and Heavy (below 29). These price changes impact approximately 9 million barrels per day of crude oil shipped to Asia, setting price benchmarks for other major oil exporters, including Iran, Kuwait, and Iraq.
Aramco typically announces its crude OSPs around the 5th of each month, influencing pricing trends across the global oil market.
