Saudi Aramco Cuts Asia Crude Prices to Six-Year Low; Brent Falls 2%

Saudi Aramco, Saudi Arabia’s state-owned oil producer, cut crude selling prices for Asia by more than expected, weighing on global oil prices.

BlockBeats, a cryptocurrency-focused media outlet, reported on October 6 that Brent crude fell more than 2% intraday to $97.45 a barrel. West Texas Intermediate dropped about 2% to $86.81 a barrel.

Aramco lowered the official selling price, or OSP, for its benchmark crude supplied to Asia to the lowest level in six years. The move suggests Saudi Arabia and other Gulf oil producers are intensifying price competition to secure market share in Asia.

A recent increase in crude shipments passing through the Strait of Hormuz also added downward pressure on prices. As Middle East supply rises and price competition among producers deepens, some supply concerns have eased.