Sources in the industry say this rise was due to planned maintenance shutdowns in the country’s refineries leaving an overhang of supply.
A report in Forbes.com stated the export increase was confirmed by three Japanese refiners who say they have been informed of the rise in Saudi term contract supplies. However, the report also goes on to say US allocations remain unchanged.
The move surprised many traders who expected the Middle East nation to cut term volumes in May or leave them at April levels, which saw Saudi Arabia cut term supplies from 12% to 13% below full contract volumes.
