Saudi Arabia is preparing a record decline in oil prices for Asia

Saudi Arabia, a leading oil exporter, is ready in January to cut prices for Asian buyers to record lows over the past few years. 

The official selling price (OSP) of Arab Light crude is expected to decrease by 70-90 cents per barrel compared to December, which will be the lowest value in four years, according to sources among Asian refiners.

The price drop will also affect other grades of oil, such as Arab Extra Light, as well as heavier grades such as Arab Medium and Arab Heavy, due to low refining margins in China.

At the same time, the results of the OPEC+ meeting scheduled for December 5 may significantly affect the volume of supplies in early 2025 and the OSP of Saudi Arabia. Analysts believe that the state oil company Saudi Aramco will announce prices after the end of this meeting. OPEC+ is discussing the possibility of postponing an increase in oil production, but representatives of Saudi Aramco, as a rule, do not comment on the kingdom's monthly OSP.