Latest news with #ESPOBlend
Reuters
a day ago
- Business
- Reuters
Huge tanker with Russian ESPO oil waits near China as demand sags
MOSCOW, May 30 (Reuters) - The Big Star, a huge tanker with 2.1 million barrels of Russia's ESPO Blend oil onboard, has been waiting near China in a potential sign of weaker demand for the crude in the region, LSEG data showed and two traders said on Friday. Many state oil companies in China are wary of potential secondary sanctions from the United States if they buy the sanctions-hit Russian oil, traders said. China's seaborne oil imports from Russia dropped to the lowest in 26 months in February, with commodity analysts Kpler assessing arrivals at 970,000 barrels per day. Since then, they have recovered as demand from private "teapot" refiners picked up. But obstacles to Russia's oil trade remain. The Big Star - a so-called very large crude carrier (VLCC) - loaded a total of 2.1 million barrels of ESPO blend from three smaller Aframax tankers, Leftkada, Kai Fu and Centurion I, between May 12 and May 17 near Russia's Far East port of Zarubino, LSEG and Kpler data showed, and headed towards Jieyang in China's southern Guangdong province before stopping. One of the traders suggested the three cargoes were placed too late for sale and failed to attract buyers. Oil in Asian markets normally sells one and a half months prior to loading. The three cargoes loaded from Kozmino port in late April and early in May, prior to the ship-to-ship transfer to the Big Star, LSEG data showed. It is not common for ESPO tankers to be involved in ship-to-ship transfers given the proximity of Russia's Kozmino port to China, and it is also rare for the grade to be held in floating storage, the traders said. After May 23, the vessel briefly lost a ship-tracking signal and then emerged near the Senkaku Islands, not far from Taiwan, on May 25, but has remained anchored since, according to LSEG data.
Russia Today
22-05-2025
- Business
- Russia Today
India's oil imports from Russia surge
India's imports of Russian crude oil are expected to reach around 1.8 million barrels per day in May, the highest level in 10 months, Reuters has reported, citing ship-tracking data from Kpler. The surge is attributed to refiners purchasing more light grades, such as Russia's ESPO Blend. Traders predict that the strong demand for lighter Russian grades will continue until July, driven by Indian refiners who have ordered over 10 cargoes of ESPO crude for June loading, the Reuters report added. ESPO crude refers to oil from the Eastern Siberian-Pacific Ocean pipeline. The most recent purchases of Russian crude by India were made before the EU and UK imposed the latest round of sanctions targeting Moscow's so-called 'shadow fleet' of oil tankers and financial firms. Despite Western concerns, India has strengthened its economic ties with Russia and increased its imports of Russian crude oil throughout the Ukraine conflict. India's imports of Russian crude oil, which were marginally down earlier in 2025, bounced back from March onwards. The surge is attributed to lower prices, which have made it more economical for refiners. Additionally, the decreased prices have led to an increase in the availability of non-sanctioned tankers, facilitating easier transportation of oil for Indian companies. After the imposition of a round of Western sanctions on Moscow in February, New Delhi said it would continue purchasing Russian oil, provided that certain conditions were met. These included a sale price below $60 per barrel, transportation on tankers that are not subject to sanctions, and ensuring that transactions did not involve any sanctioned entities or individuals, according to the Financial Express. Russian crude accounted for over 35% of India's total oil imports in March. The surge in imports in May has helped Moscow solidify its position as a major oil supplier to Asia's third largest economy.
India Today
22-05-2025
- Business
- India Today
India's Russian crude imports surge to 10-month high on strong ESPO demand
India's imports of Russian crude oil are set to reach nearly 1.8 million barrels per day in May—the highest level in ten months, according to ship tracking data from Kpler. The surge is driven largely by increased purchases of lighter grades like the ESPO Blend, as Indian refiners respond to favorable market strong appetite for ESPO crude, a light sweet variety exported from Russia's Far East port of Kozmino, is likely to persist into July. Traders report that Indian refiners recently booked over 10 cargoes of the grade for June the world's third-largest oil importer and consumer, has contributed to a recovery in ESPO spot premiums, which had weakened amid reduced Chinese demand. With Chinese state-owned refiners avoiding sanctioned crudes and independent refiners facing tight crude import quotas, more ESPO volumes are being offered to India.'ESPO is readily available in the market,' a source at an Indian refining company that recently purchased the grade was quoted as saying by news agency Reuters."Traders are currently charging a premium of about 50 cents per barrel over Dubai prices." Another industry source noted premiums for India-bound ESPO are currently ranging between 50 cents and USD 1 per READ: Power out, trees uprooted, banners toppled after massive storm hits DelhiAs Indian demand strengthens, it has also begun pushing up ESPO prices for China. Offers for July-loading cargoes bound for Chinese ports have risen to around USD 2 per barrel above Dubai prices, up from the USD 1.50–USD 1.70 range seen for June loadings, traders distillation unit (CDU) maintenance at major Indian refiners—including Reliance Industries and Mangalore Refinery and Petrochemicals Ltd (MRPL)—has further fueled demand for feedstock suitable for fluid catalytic cracking Shah, a senior oil analyst at Rystad Energy, noted that some of these ESPO cargoes are being delivered under a long-term supply deal between Reliance and Russia's Rosneft. He added that deliveries to Reliance's western Sikka port have increased noticeably since the start of the year.(With inputs from Reuters)Must Watch
Time of India
21-05-2025
- Business
- Time of India
India's oil imports from Russia surge to 10-month high on strong demand for light crude
India's imports of Russian crude oil are set to reach nearly 1.8 million barrels per day in May, the highest in 10 months, according to ship tracking data from Kpler, as domestic refiners ramp up purchases of lighter Russian grades like ESPO Blend. Strong demand from the world's third-largest oil consumer is expected to continue into July, with Indian refiners reportedly ordering more than 10 cargoes of June-loading ESPO crude just last week, traders told Reuters. The surge in buying comes ahead of new EU and UK sanctions targeting Russia's 'shadow fleet' of oil tankers and associated financial entities, raising questions about future logistics and pricing. India's appetite for Russian ESPO crude has also triggered a rebound in spot premiums for shipments delivered to China, the largest buyer of the Far East-exported grade from Russia's Kozmino port. According to Jay Shah, senior oil analyst at Rystad Energy, shutdowns at crude distillation units at Indian refining majors like Reliance Industries and MRPL have increased the need for light crude feedstock at their fluid catalytic crackers, particularly due to favourable refining margins. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Prince William & Kate Met Princess Diana's Secret Daughter. Plays Star Undo Shah also noted that several cargoes arriving at Sikka port, used by Reliance Industries, were part of a long-term agreement with Rosneft, and that volumes through this port have risen since the beginning of the year. One Indian refining source told Reuters, 'ESPO oil is available in good quantities in the market. Traders are charging a premium of about 50 cents to Dubai prices.' Another added that ESPO delivered to India is currently priced between 50 cents and $1 per barrel above Dubai crude. More ESPO barrels have reportedly been diverted to India as Chinese state-run firms continue avoiding sanctioned crude, and quota limitations constrain independent refiners in China, according to market analysts. India's rising demand has helped push ESPO premiums for China even higher, traders said. Offers for July-loading ESPO cargoes bound for China are now around $2 per barrel above Dubai, up from $1.50–$1.70 for June-loading barrels. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
21-05-2025
- Business
- Time of India
India's Russian oil imports hit 10-month high on strong demand for ESPO crude
India's Russian crude oil imports will hit close to 1.8 million barrels per day in May, the highest in 10 months, ship tracking data from Kpler showed, after refiners snapped up more light grades such as ESPO Blend. The robust demand for the lighter Russian grades in the world's third biggest oil importer and consumer is expected to last into July as Indian refiners ordered more than 10 cargoes of June-loading ESPO crude last week, traders said. India's strong demand has led to a rebound in spot premiums for ESPO cargoes delivered to China, the biggest buyer of the crude exported from the Far East port of Kozmino. Crude distillation unit shutdowns at India's major refineries Reliance Industries and MRPL have increased import requirements for feedstock at fluid catalytic crackers on favorable margins, said Jay Shah, a senior oil analyst at consultancy Rystad Energy . He added that some of these cargoes were delivered under a long-term deal between Reliance Industries and Rosneft, noting that cargoes arriving at the western Sikka port for the Indian refiner have increased since the beginning of the year. A source at an Indian refiner, who recently bought some volumes of the light sweet crude, said: "ESPO oil is available in good quantities in the market. Traders are charging a premium of about 50 cents to Dubai prices." Another source said ESPO delivered to India is currently trading at a premium of between 50 cents and $1 per barrel to Dubai prices. More ESPO was offered to India as Chinese state-owned companies continue shunning sanctioned crudes and crude quotas are running tight for Chinese independent refiners, analysts said. India's demand has pushed up ESPO prices for China, traders said. Offers for July-loading cargoes stood at around $2 per barrel premiums for delivery to Chinese ports, up from the $1.50-$1.70 a barrel traded for June-loading cargoes, traders said.
