Riyadh to target Washington with oil export cut
Saudi Arabia plans to slash exports to the U.S. oil market in the coming weeks in an effort to dampen visible build-ups in crude inventories.
American-based oil refiners have been told to expect much lower shipments from the kingdom in January than in recent months following the OPEC agreement to reduce production, Bloomberg reported with reference to people briefed on the plans of Saudi Aramco state oil company.
Saudi crude shipments to the U.S. next month could even test the 30-year low set in late 2017 of 582,000 barrels a day, down about 40% from the most recent three-month average, but the final figure could still change.
The export curbs, if fully implemented, will affect big U.S. refiners, forcing them to buy similar crude elsewhere, such as Mexico, Canada or Venezuela.