US Oil Gaining Appeal in Asia

As the OPEC+ alliance sticks to its guns in trying to curb oil output to shore up prices, Asian buyers are increasingly looking to the US for a cheaper source of supply.
Refiners in the top crude-importing region have been forced to accept big reductions in their regular contracted volumes from producers including Saudi Arabia and Iraq in the past couple of months, Bloomberg reported.
They have also been taken aback by sharp swings in official selling prices.
The lower volumes and pricing uncertainty is encouraging Asian processors to take a closer look at American crudes, particularly as freight rates across the Pacific have fallen over the last couple of months. 
Staff at four Asian processors who buy and sell crude said they were considering purchasing US oil, declining to be named because the information is confidential.
Saudi Arabia and other OPEC members have long-standing reputations as reliable suppliers to Asia, but the price war followed quickly by massive output cuts have unsettled buyers in the region. While these traditional suppliers are unlikely to be overtaken by the US anytime soon, the instability has created an opening for American producers.
“It is difficult for refiners to cope with such volatility,” said John Driscoll, chief strategist at JTD Energy Services Pte in Singapore. “On the other hand, US oil is looking more attractive with lower prices and freight rates.”