Saudi Arabia has been flooding the markets with the oil at the prices which are as low as the $25 per barrel level particularly targeting the biggest refiners of the Russian oil which are in Asia and Europe in the escalation of the fight with the Moscow for the market share as per the trading experts on Friday.
The traders which are from the oil majors and the refiners which process the crude in the region of Europe as per the company owned by state, Aramco. It said that it is going to supply all the volumes which have been requested additionally in the month of April.
The traders had earlier said that Saudi Arabia has been seeking the replacement of Russian oil with the Indian and Chinese buyers although not every refiner had received the volume which they had wanted.
The rates for tankers had been soaring as Saudi Arabia had been provisionally chartered in and around 31 supertankers for taking the extra oil including to the US where the Russian oil isn’t really much in demand. The prices of Oil have gone down by half ever since the start of the year and this is because the demand has been hit by the outbreak of coronavirus and the after OPEC and Russia failed in their quest for reaching a new deal on the supply cuts.
Moscow had refused the support for the newer cuts saying that the impact from this virus may be a lot worse than it was thought and then Riyadh retaliated with the opening up of their taps and the pledge to pump the record volumes in the market.
