Urals News

India's Reliance Industries, operator of the world's biggest refining complex, will not buy Russian oil loaded on tankers operated by shipping company Sovcomflot (SCF) after recent U.S. sanctions, according to two sources familiar with the matter.The development adds to oil export problems for Russia as its oil firms may face difficulties finding ships to sell surplus oil after recent Ukrainian drone attacks on the state's refineries. Russian companies are already struggling to collect payments for oil exports due to banking restrictions.The U.S.

Tankers carrying Russian oil have continued sailing through the Red Sea largely uninterrupted by Houthi attacks on shipping and face lower risks than competitors, according to shipping executives, analysts and flows data.Russia has become more dependent on trade through the Suez Canal and the Red Sea since it invaded Ukraine, which led to Europe imposing sanctions on Russian imports and forced Moscow to export most of its crude to China and India. Before the war, Russia exported…

Russian oil tankers are not targeted in the European Commission's proposal for tightening the implementation of a price cap on the country's crude oil, EU diplomats said on Wednesday.The Financial Times reported earlier on Wednesday that Denmark will be tasked with inspecting and potentially blocking Russian oil tankers sailing through its waters under new European Union plans as a way of enforcing a $60 per barrel price cap on Moscow's crude.The FT said that Denmark would target tankers carrying Russian oil that did not have Western insurance…

Denmark will be tasked with inspecting and potentially blocking tankers carrying Russian oil through its waters under new European Union plans, the Financial Times reported on Wednesday, citing three unidentified sources.Russia sends about a third of its seaborne oil exports, or 1.5% of global supply, through the Danish straits so any attempt to halt those supplies would send oil prices higher and trigger a confrontation with Russia. The FT said that Denmark would target tankers carrying Russian oil that did not have Western insurance…

U.S. penalties on shippers transporting Russian oil in breach of the G7's price cap could push more Russian cargoes onto vessels referred to as the ghost fleet and away from mainstream tankers, shipping sources and analysts told Reuters.The cap bans Western companies from providing maritime services for Russian seaborne oil exports sold above $60 a barrel.It was designed to keep oil flowing to markets while reducing Russia's energy earnings that it can use to finance its war on Ukraine…

Russia's oil exports via its western sea ports in November may fall by some 300,000 barrels per day (bpd) after ample supplies in September-October as domestic refineries are expected to raise runs as seasonal maintenance ends, three sources familiar with the plans said.Urals, Siberian light and KEBCO crude oil exports from Primorsk, Ust-luga and Novorossiisk ports are set to decline by some 300,000 bpd from October to slightly above 2 million bpd, according to the sources familiar…

Russian crude oil producers are enjoying the cheapest costs to ship to refiners in China and India in almost a year thanks to a growing number of vessels plying the routes, according to trading and shipping sources.The arrival of new shippers working outside the purview of Western governments allows Russian firms to earn more than the $60 per barrel cap that the U.S. and its allies had aimed to impose on Russia through sanctions. It also means that enforcing the price cap will have a limited impact on Russian revenues.On Thursday, the U.S. imposed the first sanctions on owners of tankers carrying Russian oil above the cap, one based in Turkey and one in the United Arab Emirates…

Appetite for Iranian crude is growing in China, the world's biggest oil importer, after the extension of supply cuts by Saudi Arabia and Russia boosted global prices, while Tehran is stepping up output and exports despite U.S. sanctions.Although China's "teapots", or small independent refiners, are stocking up on Iran's discounted oil as they exploit robust margins to fill strong seasonal demand, big state refiners are still keeping away.Iran's crude exports of about 1.5 million barrels per day (bpd) stand at their highest in more than four years…

Russia is shipping a naphtha cargo via the North Sea Route (NSR) as Moscow seeks to increase supplies using the route to major trade partner China, cutting its way through European waters, traders said and Refinitiv data showed.SCF Irtysh is loaded with with 37,000 tonnes of naphtha onboard, loaded at Ust-Luga port on August 5, 2023, for delivery to China. It is the first such loading since at least the late 2000s, according to two traders.The supplier of the cargo was Gazprom Neft, the traders said.

Russian seaborne crude oil export volumes have remained strong and grew 13% y/y in 2022 despite the invasion of Ukraine. However, after a 4% m/m fall in June, volumes fell another 16% m/m in July, and the Russian administration has announced export cuts for August, says Niels Rasmussen, Chief Shipping Analyst at BIMCO.An even more important factor for the crude tanker market is how EU regulations have reshaped crude trades. China, India, and Türkiye have replaced EU countries as the main buyers of Russian crude oil…

Pakistan is unlikely to meet a target for Russian crude to make up two-thirds of its oil imports, despite attractive prices, hampered by a shortage of foreign currency and limitations at its refineries and ports, officials and analysts say.The cash-strapped South Asian nation became Russia's latest customer snapping up discounted crude that has been banned from European markets due to Russia's war on Ukraine. Its first cargo arrived in June and a second is now under negotiation.It is targeting 100…

A Liberian-flagged oil tanker set sail in May from Russia's Ust-Luga port carrying crude on behalf of a little-known trading company based in Hong Kong. Before the ship had even reached its destination in India, the cargo changed hands.The new owner of the 100,000 tonnes of Urals crude carried on the Leopard I was a similarly low-profile outfit, Guron Trading, also based in Hong Kong, according to two trading sources.The number of little-known trading firms relied on by Moscow to export large volumes of crude exports to Asia has mushroomed in recent months…

Russia's seaborne oil exports from Primorsk, Ust-Luga and Novorossiisk hit 4-year record of 2.4 million barrels per day (bpd) in May as domestic refineries maintenance season freed up extra barrels, Refinitiv Eikon data showed on Monday.Russia's oil exports have been growing steadily over the last couple of months even though the state pledged additional cuts in line with OPEC+ members. Saudi Arabia has recently announced a deep cut to its output in July on top of a broader OPEC+ deal.Russian refineries cut runs in May amid major seasonal maintenance on most plants…

A rise in spot prices for Russian crude oil to above the $60 per barrel cap imposed by western powers has made ship insurers even more nervous of running foul of the rules as they are unable to independently track the value of cargoes, executives said.To curb Moscow's oil revenues following the Ukraine war, the Group of Seven Nations, the European Union and Australia imposed price caps on Russian crude and oil products from December and February, respectively.So long as the prices do not exceed capped levels…

India and China have snapped up the vast majority of Russian oil so far in April at prices above the Western price cap of $60 per barrel, according to traders and Reuters calculations.That means the Kremlin is enjoying stronger revenues despite the West's attempts to curb funds for Russia's military operations in Ukraine.A G7 source told Reuters on Monday the Western price cap would remain unchanged for now, despite pressure from some European Union countries, such as Poland,…

The clear winner in the race to replace Russian oil at Europe's refineries is Norway's Johan Sverdrup crude, according to Refinitiv Eikon data and traders.Johan Sverdrup was launched in 2019, making it a relative newcomer compared to Russia's Urals grade.Initially sold mostly to Asia, an EU ban on Russian seaborne oil imports imposed in December has opened up the European market where the medium sour grade has become a primary feedstock for refiners in countries such as Germany…

Western sanctions on Russia have significantly reduced state oil revenues and diverted tens of billions of dollars towards shipping and refining firms, some with Russian connections.Most of the winners from the sanctions are based in China, India, Greece and the United Arab Emirates, at least 20 trading and banking sources said. A handful are partly owned by Russian companies.None of the firms is breaching sanctions, the sources told Reuters, but they have benefited from measures…

Storage demand and transit volumes are poised to grow further at the United Arab Emirates' Fujairah port this year as Russian trade flows continue to flood the hub, industry executives said on Tuesday.Russian oil barrels have been flowing into popular ship-to-ship transfer hubs in the Middle East and Asia since last year as Western sanctions led to the reshuffling of trade flows."We have seen a huge influx of Russian barrels coming into Fujairah ... particularly urals and naphtha…

Russia's second-largest oil producer Lukoil has set up ship-to-ship (STS) loadings of Urals oil near the western port of Kaliningrad, Refinitiv Eikon data showed and trading sources told Reuters on Wednesday.The data shows 100,000 tonnes of Urals crude was loaded on the Andaman Skies tanker at the Baltic port of Primorsk on Feb. 11.

China's seaborne imports of Russian oil are set to hit a record this month after refiners took advantage of cheap prices as domestic fuel demand rebounded, but Russia's plan to cut exports will likely cap buying in coming months.Hefty Chinese buying, alongside robust Indian demand, has been spurred by steep price discounts but is providing Moscow much-needed revenue after the Group of Seven imposed a $60 price cap on Russian crude."Price is the king," said a purchasing manager…

Europe's ban on seaborne Russian oil imports from Dec. 5 has prompted Moscow to divert its crude flows to Asia and failed to curb Russian supplies, according to traders and data from Refinitiv Eikon.Supplies of oil from Russia and Kazakhstan from the Baltic Sea ports of Ust-Luga and Primorsk rose in the first half of January to 3.4 million tonnes from 2.5 million tonnes in the same period of December.That includes 3.1 million tonnes of Russian oil, up 35% from 2.3 million tonnes in the corresponding period of December…

Western oil tankers ramped up their shipments of Russian crude in January as prices for Moscow's flagship Urals grade held below an international price cap, according to market sources and Eikon data.The Group of Seven nations (G7), Australia and the 27 European Union countries placed a price limit on Russian crude oil of $60 per barrel on Dec. 5.The cap allows non-EU countries to import seaborne Russian crude oil, but prohibits Western shipping and insurance companies from handling…

Ship-to-ship (STS) loadings of Russian Urals blend crude oil hit a record high in January in the Mediterranean as traders moved cargos onto larger vessels to make long-haul shipments to Asia more cost effective, Refinitiv Eikon data showed.Since the European Union banned purchases of Russian sea-borne oil in December over Moscow's actions in Ukraine, the bulk of Russian oil has been diverted to Asia.STS operations involve the transfer of cargo in international waters from smaller to larger vessels…