Aramco Sells Heavier Crudes through Hormuz Amid Supply Concerns

Saudi Aramco has sold approximately 4 million barrels of Arab Medium and Heavy crude to PetroChina for loading in September, just outside the Strait of Hormuz. This sale signals continued crude movements near the strait as Chinese refiners buy Middle Eastern barrels transferred outside higher-risk areas amid supply concerns.

Chinese buyers have also purchased Iraqi, Qatari, and Abu Dhabi crude offered outside Hormuz, though analysts expect imports to remain below pre-war levels. PetroChina took at least 2 million barrels of Qatari Al-Shaheen and Marine oil after it was offered at locations outside the Hormuz.

Saudi Arabia has managed to ship large volumes of its crude out from the Red Sea port of Yanbu after Hormuz's effective closure, but the east-west pipeline connecting the port has only carried the nation's lighter grades. Aramco is now selling its heavier grades by moving them through Hormuz.