Oil Daily | Saudi Arabia Cuts Oil Prices for Asia Amid Global Price Slump and Increased Production

【Company News】

Australia's Woodside Energy has partnered with Stonepeak, selling a 40% stake in its Louisiana LNG project, with Stonepeak committing $5.7 billion towards the facility's capital expenditure. This collaboration enhances the project's economics and positions it closer to final investment decision readiness, validating its quality and attractiveness to potential partners.

【Global Oil Supply and Demand】

Independent refineries in China increased their run rates in March, indicating a rise in oil demand, despite lingering concerns over future outlook. The increase follows a rebound in Russian oil cargos and higher Iran supply. Diesel demand is expected to rise slightly due to seasonal factors, though tariffs and shifts to LNG and EVs may dampen demand.

【Oil-Producing Countries Dynamics】

Saudi Arabia reduced its official selling prices for oil sharply amid upcoming production increases and a global oil price slump. The price for Asian buyers was cut most significantly, driven by new tariffs between the U.S. and China and OPEC's unexpected production boost. Price reductions for other regions were relatively smaller.

【Latest Oil Policies】

New tariffs exchanged between the U.S. and China have impacted oil demand forecasts for China, the world's largest oil importer. Analysts expect a decline in demand as U.S. crude becomes costlier, affecting economic growth and oil market dynamics globally.