Asia Gets Most of Russian Dark Fuels after EU Embargo

Reuters
Thursday, May 25, 2023

Asian countries remain the lead destinations for Russian vacuum gasoil (VGO) and fuel oil exports after the European Union's embargo, traders said and Refinitiv data showed. "Pretty stable flows for refining and bunkering", one trader said. 

According to Refinitiv data, China and India, which became main importers of embargoed Russian oil, were respectively accounting for about 2.6 million tonnes and 2.1 million tonnes of exports of dirty oil products from Russian ports since the start of the year, buying fuel oil and VGO for further processing at their refineries.

Singapore and Malaysia also hit the top five destinations for fuel oil and VGO of Russian origin with almost 3.5 million tonnes in total, while Turkey and Saudi Arabia received about 1.6 million tonnes each, Refinitiv data showed.

Fujairah, key transit and blending hub for oil products in the United Arab Emirates, accepted almost 1.4 million tonnes of fuel oil and VGO since the start of this year.

In February 2023, the EU introduced a full ban on supplies of Russian oil products, but Russian fuel oil and VGO had already been diverted elsewhere as restrictions were applied partially in August 2022. Asia and the Middle East and also ship-to-ship (STS) loadings became the most popular ways to bypass sanctions since then.    

STS loadings near the Greek port of Kalamata have attracted from Russia the biggest dirty oil products volumes, which surged to 8 million tonnes in 2022 and totalled almost 2.7 million tonnes from the beginning of 2023. Traders said those cargoes mostly end up in Asia.    

"(The main destinations were) China, Singapore and some cargoes went to India," one trader added.

Russia also exports small amounts of dirty oil products to Africa, mostly to Senegal, which has bought about 114,000 tonnes of Russian fuel oil this month, according to Refinitiv.


( Reporting by Reuters; Editing by Peter Graff)

Categories: Fuels Sanctions Oil Tankers

Related Stories

Planned Strike at Inpex’s Ichthys LNG Facility Called Off as Talks Continue

Indonesia Locks In LNG Supplies from Inpex' Abadi and Eni’s South Hub

Oil Prices Rise as Iran Talks Stall and Inventories Shrink

Indonesia Puts 13 Oil And Gas Blocks on Bidding Round Offer

BP Adds Three Exploration Blocks off Indonesia

Inpex Inks Abadi LNG Gas Supply Deal With Indonesian State Firms

ScioSense Launches UFC23 Ultrasonic Flow Converter for High-Precision, Ultra-Low-Power Smart Metering

Longitude to Integrate SynergenOG Following ABL Group Acquisition

Petronas Signs 20-year Charter Deal with MISC for Five LNG Carrier Newbuilds

Iraq, Pakistan Secure Oil Shipments via Hormuz with Iran Agreements

Current News

Three Dead After Incident at Petronas' FSO Offshore Malaysia

Planned Strike at Inpex’s Ichthys LNG Facility Called Off as Talks Continue

Eni Inks Long-Term Indonesia LNG Supply Agreements

Indonesia Locks In LNG Supplies from Inpex' Abadi and Eni’s South Hub

Wood Secures Subsea Design Scope on QatarEnergy’s Bul Hanine Redevelopment

Oil Prices Rise as Iran Talks Stall and Inventories Shrink

Indonesia Puts 13 Oil And Gas Blocks on Bidding Round Offer

BP Adds Three Exploration Blocks off Indonesia

Indonesia Signs Eight Oil and Gas Contracts

Inpex Inks Abadi LNG Gas Supply Deal With Indonesian State Firms

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com