Oil Supply to Asia Remains Stable Despite OPEC Cuts and Market Fluctuations

Saudi Arabia will continue to supply several refiners in North Asia with full contractual volumes of crude in May, despite the 500,000 bpd production reduction as part of the latest OPEC+ cuts beginning next month. The move has eased concerns among refining customers in Asia about the impact of reduced production on crude supply. The surprise OPEC+ cuts lifted international oil prices and strengthened the bullish futures structure of the main Middle Eastern benchmarks, off which the major Gulf producers price their crude going to Asia.