Saudi Arabia has cut the official selling price of its flagship Arab Light crude sold to Asia for the third consecutive month, reflecting persistent signs of oversupply and softer spot market conditions.

State oil producer Saudi Aramco set the February official selling price at a premium of about thirty cents per barrel above the Oman/Dubai benchmark, down from higher levels in previous months and marking a continued slide in pricing for Asia-bound shipments.

Other grades such as Arab Extra Light, Arab Medium and Arab Heavy are also expected to see modest reductions or remain flat as refiners adjust to market demand dynamics.

The move comes amid a backdrop of abundant global crude supply and weakening benchmark curves in the Middle East, with the forward curve for grades including the Dubai and Abu Dhabi Murban futures showing softer price structures.

Brent crude and other global benchmarks experienced significant declines in recent months, contributing to downward pressure on official selling prices from major exporters, including Saudi Arabia.

Producers in the Organization of the Petroleum Exporting Countries and its allies, collectively known as OPEC+, have agreed to pause additional output increases through the first quarter of the year despite ongoing oversupply concerns.

Nevertheless, elevated stock levels and rising production from non-OPEC sources have continued to pressure prices.

Saudi pricing decisions typically set the tone for other Middle Eastern exporters to Asia, influencing terms for roughly nine million barrels per day of crude shipments.