Why did Saudi Aramco switch to spot pricing for its Ras Tanura crude exports, and what does this indicate about market conditions?

Saudi Aramco switched to spot pricing for its Ras Tanura crude exports to attract demand amid intensifying competition among suppliers and a prompt glut in the Asian market, which has contributed to Brent crude falling to about $70 a barrel from near $120 in March following the interim U.S.-Iran peace deal; this shift marks a departure from its usual long-term contracts with official selling prices (OSPs), as its July OSPs for Asia — set at $6–$10/barrel premiums — are now uncompetitive against other Middle Eastern crudes offered at discounts, especially since most refiners have already secured oil supplies through August.

What is the significance of Aramco resuming loadings from Ras Tanura after a nearly four-month halt, and where are the shipments headed?

Saudi Aramco’s resumption of loadings from Ras Tanura — the world’s largest oil port — after a nearly four-month halt signals a return to full export operations following precautionary shutdowns during regional conflict, including the closure of its 550,000 bpd Ras Tanura refinery; at least five VLCCs carrying a total of 10 million barrels have exited the Strait of Hormuz, with two heading to Japan and two to China — specifically 2 million barrels each to Sinochem’s Quanzhou refinery and Shenghong Petrochemical’s Lianyungang port — while four more VLCCs remain near Ras Tanura, three waiting to load and one fully laden.

Saudi Aramco ramps up exports from Ras Tanura, switches to spot sales, sources say

Jul 2, 2026

Saudi Aramco resumed oil exports from Ras Tanura after a four-month halt, switching to spot pricing to attract Asian buyers. Five supertankers have departed, contributing to a prompt glut that has depressed Brent crude prices to around $70 per barrel.

reuters

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