Nov. 9 (Bloomberg) -- Saudi Arabian Oil Co. will supply more crude to refiners in Asia as rising prices threaten to hurt the world economic recovery.

Saudi Aramco, as the company is known, will provide 100 percent of cargoes under long-term contracts for the first time in a year next month, according to a Bloomberg News survey of refinery officials in Japan, South Korea, China and Thailand, who asked not to be identified because of confidential agreements. The refiners will receive between 85 percent and 90 percent in November.

The increase in Saudi Arabian supply to Asia may indicate OPEC’s largest exporter will let its production quota discipline slip to halt this year’s rally in crude prices. The price of a basket of crudes produced by the Organization of Petroleum Exporting Countries gained 15 percent in the past two months to $76.25 a barrel on Nov. 6 and has more than doubled since the start of the year.

“Everyone in OPEC wants to get as much of the cake as they can from the increase in prices,” said Alexander Poegl, an analyst at JBC Energy GmbH in Vienna. “Additionally, providing the market with continuously more crude may help stabilize things, particularly in the physical market in Asia.”

Saudi Arabia has an OPEC production quota of 8.051 million barrels a day. In October, the kingdom pumped 8.15 million barrels a day, down from 8.2 million barrels a day in September, according to a Bloomberg News survey.

Full Volumes

This would be the first time since November 2008 that refiners in Japan would receive full volumes.

Saudi Aramco raised on Nov. 2 official selling prices for its light grades of crude oil sold to Asia in December. Arab Light, the country’s biggest export grade, was increased by 35 cents to a premium of 50 cents to the average of benchmarks Oman and Dubai published by pricing service Platts.

OPEC’s compliance with its production target has slipped as crude prices have climbed. The target for the 11 members with quotas, all except Iraq, is set at 24.845 million barrels a day. Since reaching a low of 25.32 million barrels a day in March, output has climbed to 26.310 million barrels a day in October.

Not all Asian refiners will receive full volumes. An official at a facility in Taiwan said supplies to the plant will be cut by a smaller percentage in December compared with November. year after dropping by twice that amount in 2009, he said.

OPEC’s 12 members are Algeria, Angola, Ecuador, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates and Venezuela.

To contact the reporters on this story: Christian Schmollinger in Singapore at christian.s@bloomberg.net; Yuji Okada in Tokyo at yokada6@bloomberg.net

Last Updated: November 9, 2009 07:03 EST