Asian refiners say ‘no thanks’ to more Saudi oil

SINGAPORE (Reuters) – Refiners across Asia said on Monday they were not likely to buy more Saudi crude at current prices, highlighting the kingdom’s challenge in attempting to contain soaring markets by promising extra barrels.

The world’s top exporter is set to increase output to 9.7 million barrels per day (bpd) in July, United Nations chief Ban Ki-moon said on Sunday, the first official indication of Saudi Arabia’s second supply boost in as many months.


The extra 250,000 bpd would come on top of the 300,000 bpd it promised to pump this month, most of which appeared to head West as margins for simple refiners in Asia slumped to their deepest losses in over a decade.

“We’ve already made our plans, and barring something out of the ordinary, I don’t foresee making any changes to them,” a source with a Japanese lifter told Reuters.

Another lifter added: “We have no interest in extra barrels.”

Reuters