Al Arabiya TV reports that Saudi Arabia may be lowering it oil prices due to an anticipated drop in demand now that Winter is on its way out.

Saudi Arabia may lower its official crude oil selling prices

Singapore (Reuters) — Top oil exporter Saudi Arabia may lower its official selling prices for all crude grades for its Asian buyers in March on expectations of weaker demand due to refinery maintenance and warmer weather, a Reuters survey showed on Friday.

Saudi Arabia may lower the OSPs for Arab Light and Arab Medium by a dollar per barrel, while Arab Heavy and Arab Extra Light may be cut by 65 cents and 90 cents each, according to the median of estimates from six traders and refiners.

Saudi crude OSPs are usually released around the fifth of each month, and set the trend for Iranian, Kuwaiti and Iraqi prices, affecting some 7 million barrels per day (bpd) of crude bound for Asia.

Spot differentials for March cargoes, which traded last month, weakened considerably over January as refiners from north Asia cut their purchases.
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The article introduced me to an absolutely new word… backwardation.