What specific discount ranges did SOMO offer for August-loading Basrah Medium and Basrah Heavy crude loaded from inside the Strait of Hormuz?

According to the document reviewed by Reuters, SOMO offered discounts of $25 to $27 a barrel for Basrah Medium crude and $27.80 to $29.80 a barrel for Basrah Heavy crude, relative to the relevant destination benchmarks, for August-loading cargoes lifted on a free-on-board basis from the Basrah Oil Terminal or Iraq’s single-point moorings and associated facilities inside the Strait of Hormuz.

Why is SOMO offering deep discounts for oil loading inside the Strait of Hormuz, and what recent maritime developments are cited in the article as context?

SOMO is offering deep discounts to entice buyers to lift August-loading Basrah crude cargoes from inside the Strait of Hormuz, likely to maintain export momentum amid heightened shipping risks; the article cites that visible traffic in the Strait slowed over the weekend following reports of vessel attacks, as shown by shipping data released on Monday.

Iraq's SOMO Offers Deep Discounts for Oil Loading Inside Hormuz, Document Shows

Aug 2, 2026

Iraq's state oil marketer SOMO offered steep discounts on August Basrah crude to entice buyers to lift cargoes from inside the Strait of Hormuz, where traffic slowed after reported vessel attacks.

reuters

2026-08-02

Iraq's SOMO Offers Deep Discounts for Oil Loading Inside Hormuz, Document Shows

Iraq's SOMO Offers Deep Discounts for Oil Loading Inside Hormuz, Document Shows

FAQ