Saudis cut Arab Light price for Asia again

KUALA LUMPUR, 7 AUGUST 2026 —

Saudi Aramco cut its Arab Light crude price for Asian buyers next month by 50 cents to $2 below the regional Oman/Dubai average, the fifth-lowest price since 2000.

The move follows rising shipping costs through the Strait of Hormuz, where US-Iran tensions have curbed tanker traffic. Brent crude, the global benchmark, has fallen 20% in two weeks to near $80 a barrel, as markets price in a potential deal to reopen Hormuz. Iran said an agreement with Oman on a proposed shipping route was in its final stages.

Aramco has sustained exports at about 5 million barrels a day, roughly 70% of normal volumes, CEO Amin Nasser told analysts on Tuesday. The company has rerouted some shipments via Egypt’s Sidi Kerir port to avoid risks in the Red Sea, where Houthi attacks have disrupted the alternative Yanbu route. Final prices for refiners include additional logistics costs if crude is lifted from Yanbu or Sidi Kerir.

Regional producers are pricing oil amid uncertainty over Hormuz flows. The UAE has managed to export barrels despite recent attacks, but Saudi shipments via the strait remain limited. Aramco’s official prices are benchmarks for Gulf crude, guiding regional producers in setting their own selling terms.

Aramco increased prices for Medium and Heavy crudes to Asia next month, while cutting prices to the US, Northwest Europe and the Mediterranean, according to the price list. Asian refiners had asked for discounts to offset longer shipping routes around Africa.

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