Saudi Arabian Oil Co. will supply all its contracted volumes of crude to Japanese and Chinese customers in March, said three refinery officials who received notification from the world’s biggest exporter.
Saudi Aramco, as the company is known, will supply 100 percent of shipments committed under long-term contracts for a 28th month, according to the refiners in Japan and China. They declined to be identified because of confidentiality agreements with the Dhahran-based company.
Saudi Arabia (OPCRSAUD) pumped 9.65 million barrels a day in January, according to a Bloomberg News survey of producers, analysts and companies. The country is the largest producer in the Organization of Petroleum Exporting Countries. The group agreed in December to increase its production ceiling to 30 million barrels daily, the first change in three years.
While Saudi Aramco has the option to reduce monthly sales to term buyers, it hasn’t done so for more than two years.
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