- Russia undercuts Saudi Arabia's oil price to compete with it, allowing Moscow to increase its market share in India, one of the biggest importers of crude (BBG)
- Russian barrels were cheaper than Saudi crude from April through June, with the discount widening to almost $19/Bbl in May
- While the discount of Russian oil to Saudi crude narrowed in June, a barrel of Russian oil still costs around $13 less on average than Saudi crude
- This made Russian oil more enticing for India to overtake China to become the biggest buyer of Russian oil
- India's oil imports from Russia surged to a record of around 950 MBbl/d in June
- Saudi Arabia and UAE stand ready to deliver a "significant increase" in oil output should the world face a severe supply crisis this winter (Reuters)
- According to a statement released after OPEC+ announced its output hike of 100MBbl/d, spare capacity was "severely limited availability" and needed to be kept in reserve in case of "severe supply disruptions"
- Saudi Arabia and the UAE, according to three sources, might pump "significantly more," but they would only do so if the supply crisis got worse
- It is believed that Saudi and UAE have a spare capacity of nearly 2 MMBbl/d, and neither has produced more than their announced OPEC quota for more than a few weeks