Aramco sells fuel oil at record high

SINGAPORE: Saudi Aramco has sold 90,000 tonnes of September-loading fuel oil yesterday at what traders said was the highest differential on record amid stirring import demand from China in the face of falling out

The 180-centistoke (cst) A961 cargo, for September 3 to 5 lifting from its Ras Tanura refinery, was sold to US-based Koch Refining at a premium of around 50 cents a tonne to Singapore spot quotes on a free-on-board (FOB) basis, they said.


“The strike price was quite shocking, to say the least. I don’t think we have ever quite seen A961 done at premium levels before. It was quite keenly contested this time and Koch managed to pip everyone because I think they have some freight advantage,” a Singapore-based Asian trader said.

This was the first time Aramco had sold A961 fuel oil, since concluding an end-March parcel at a discount of $1.00 a tonne to parity, as the Middle East emerges from its peak summer demand period.

Gulf Daily News