Top Gulf exporters cut heavy crude prices to lows

[phantom power]

I assume this is because not many refineries can use it.

SINGAPORE (Reuters) - Kuwait and Iran on Wednesday joined Saudi Arabia in slashing the price of their heavy crude exports to the deepest discounts in at least nine years, seeming to support OPEC's view that the world has enough of its supplies.

The 35- to 50-cent mark-downs on the differential for July shipments hardly compensates for the surge in benchmark prices -- U.S. light, sweet crude is up $5 a barrel so far this week alone -- but reflects the poorer profits for simple refiners who are unable to convert heavy Gulf crudes into higher-value fuels.

http://www.guardian.co.uk/business/feedarticle/7577722