Saudi production hike heading for Asia
Riyadh’s plan to boost market share by unleashing a tidal wave of crude onto the Asian market would be a boon for local refiners as the region recovers from Covid-19
The fallout from collapsed Opec+ negotiations escalated on Sunday with the announcement that Saudi Arabia will slash its official Asian selling prices to unprecedented levels. April-loading cargoes sent east from the Kingdom will now be reduced by between $4-6/bl. The ploy showcased Saudi Arabia’s aggressive new strategy following its failure to convince Opec partners—notably Russia—to agree to further crude production limits. “The gauntlet has been thrown down,” says Shin Kim, head of supply and production, analytics, at pricing agency Platts. “[It] signals the start of an oil price war. Massive discounts leave no doubt about Saudi Arabia’s intention to regain market share from higher cost
Also in this section
24 December 2025
As activity in the US Gulf has stagnated at a lower level, the government is taking steps to encourage fresh exploration and bolster field development work
23 December 2025
The new government has brought stability and security to the country, with the door now open to international investment
23 December 2025
A third wave of LNG supply is coming, and with it a likely oversupply of the fuel by 2028
22 December 2025
Weakening climate resolve in the developed world and rapidly growing demand in developing countries means peak oil is still a long way away
