Saudi Aramco cuts Arab Light crude prices for Asia amid shipping disruptions

Saudi Aramco has reduced the price of its Arab Light crude for Asian customers by 50 cents per barrel for September delivery. This adjustment sets the price at $2 below the regional benchmark, marking the fifth lowest official price for the grade since 2000. The reduction follows disruptions in the Strait of Hormuz caused by conflict between the United States and Iran, which has increased shipping costs and forced Saudi Arabia to reroute exports through the Red Sea port of Yanbu.

In a separate market movement, the price of Azerbaijan’s Azeri Light crude rose to $95.57 per barrel at the Italian port of Augusta. Prices for Urals crude and Dated Brent also saw increases. Market volatility remains high as investors monitor diplomatic developments between the United States, Iran, and Oman regarding maritime security and potential agreements in the Persian Gulf.