NH Investment & Securities says S-Oil should benefit from Saudi Arabia lowering
its official selling price for Arab Light to Asia to a $2/bbl discount to the
Oman/Dubai average for September and October, versus a $1.5/bbl discount in
August. The move should support margins at S-Oil, the South Korean refiner
majority-owned by Aramco. NH adds that a Strait of Hormuz blockade is
redirecting global oil flows away from the Middle East and accelerating the
region’s loss of market share. NH raised S-Oil’s operating profit forecasts for
2026 and 2027 by 17% and 26%, respectively.
