Iran has reduced its oil prices to Asia to its lowest level
since December 2008, hard on the heels of a similar Saudi cut last
week, people familiar with the pricing said Friday.
The news comes as members of the Organization of the Petroleum
Exporting Countries are jockeying for market share in Asia after
their sales to the U.S. were displaced by the shale boom.
The National Iranian Oil Co. has cut its light crude oil price
for Asian deliveries in November to a discount of 82 cents a barrel
below the Oman/Dubai benchmark, the people said. The cut, which
compares to a premium of 18 cents in October, is identical to a
Saudi reduction of $1 a barrel last week for the Arab Light grade
to Asia.
Overall international prices are also falling on abundant
supplies and lackluster demand. The average OPEC fell to its lowest
level since December 2010 Thursday while the Brent benchmark has
dropped below $90 a barrel for the first time in over two
years.
Write to Benoît Faucon benoit.faucon@wsj.com
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