Saudi Arabia Reduces Crude Supplies
February 28th, 2020
Saudi Arabia is reducing its crude supplies to China in March by at least 500,000 bpd due to slower refinery demand following the coronavirus outbreak. China normally imports 1.8 million bpd to 2 million bpd of Saudi crude.
Saudi Arabia is asking for the OPEC+ group to cut an additional 1.0 million bpd at its March 5th and 6th meeting. Russia is still undecided on if their will participate in addition production cuts as part of the OPEC+ group
Stocks are on track for the biggest weekly losses since 2008 as the fear about coronavirus continue.
Oil prices are on pace for the biggest weekly fall in 4 year.
The head of the World Health Organization, Tedros Adhanom Ghebreyesus, said the news coronavirus outbreak has reached a “decisive point”. He urged countries to redouble efforts to contain its spread effectively.