Iraq sets official September price for Basra Medium crude oil, with significant regional pricing differentiation

⑴ Iraq’s State Oil Marketing Organization (SOMO) has announced the official September price for Basra Medium crude, displaying marked differentiation in its pricing strategies for major export destinations.⑵ The price for the North and South American markets is set at a premium of about $5.1/barrel over Argus sour crude, reflecting SOMO’s premium positioning for the US and Americas region.⑶ The official price for the European market is set at a discount of about $4.85/barrel to Brent crude, indicating a price-cutting strategy to enhance competitiveness in Europe.⑷ For the Asian market, the price is set at a discount of about $4/barrel to the Oman/Dubai average price, continuing the practice of offering a certain concession to Asian buyers to counteract market share competition from other Middle Eastern oil producers in the region.