Factbox-Who is buying Russian crude oil and who has stopped -Breaking
[ad_1]
© Reuters. FILE PHOTO – A worker inspects the oil pipeline at Imilorskoye, a Lukoil oil company, Russia. January 25, 2016, REUTERS/Sergei Karpukhin(Reuters) – Here’s what countries have said about Russian oil purchases after the invasion of Ukraine by Moscow on February 24, 2018, and how they have reacted.
RESPONSE OF COUNTRIES
The United States, Canada, Australia and Britain have all imposed bans on Russian oil imports, but 27 EU members have yet to reach an agreement on the embargo.
Paolo Gentiloni (EU Economic Commissioner) stated that the EU intends to cut its dependence upon Russian oil and gas by two thirds this year, and then to zero by 2027.
Germany is the largest EU economy and has declared plans to eliminate its dependency on Russian oil.
Although the EU did not place an embargo on Russian oil, many European companies have stopped purchasing Russian crude oil voluntarily. They also promised to stop buying it when long-term contracts end.
To avoid getting in trouble with EU sanctions, major global trading houses will reduce their crude and fuel imports from Russia’s state controlled oil companies by May 15.
Moscow threatened to seek alternative markets for its oil supplies if Russia rejects the West’s Russian gas and oil.
China and India continue to purchase Russian crude oil despite their refusal to condemn Russia for its actions.
These are all current and former Russian oil buyers (in alphabetical order).
Current Buyers
BHARAT PETROLEUM
Bharat Petroleum Corporation Ltd in India has acquired 2 million barrels Russian Urals from Trafigura for its May loading, according to two sources familiar with the matter. It regularly purchases Russian Urals to fuel its Kochi refinery, which produces 310,000 barrels of oil per day (bpd), in southern India.
HELLENIC PETROLEUM
The Russian oil is used by Greece’s largest oil refiner. It accounts for 15% of the country’s total crude oil intake. This month, the company secured more supplies from Saudi Arabia.
HINDUSTAN PERROLEUM
Trading sources said that India’s State Refiner purchased 2 Million Barrels of Russian Urals to load May, according trading sources.
INDIAN OIL COMPANY
India’s largest refiner purchased 6 million barrels Urals in February 24, 2018, and has signed a Supply Contract with Rosneft to purchase up to 15,000,000 barrels Russian crude oil by 2022.
According to trading sources, the refiner also purchases crude oil for Chennai Petroleum’s subsidiary. However, it has eliminated several high-sulphur crudes, including Urals from its most recent tender.
ISAB
Italy’s largest oil refinery, Litasco SA of Switzerland, which is controlled by Lukoil, was forced to source most of it from Russia, as international banks no longer provide credit.
Two government sources confirmed to Reuters that the Italian government may consider temporary nationalization of ISAB if Russian oil sanctions are imposed.
LEUNA
TotalEnergies owns the majority of Leuna’s eastern German refinery, which is located on the landlocked Leuna. It also receives Russian crude oil via its Druzhba pipe.
MANGALORE PETROCHEMICALS & REFINERY
Indian state-run refiners purchased 1,000,000 barrels of Russian Urals crude oil for May loading through a tender to a European trader. This rare acquisition was driven by the discounted price.
MIRO
Russian crude oil continues to make up about 14% in Germany’s largest refinery Miro (which is 24% owned Rosneft).
MOL
Hungarian Oil Group, with three oil refineries in Hungary, Slovakia, and Croatia, continue to purchase Russian crude through Druzhba Pipeline, and other refined products.
According to the company, it will take between two and four years to completely replace Russian oil imports if there is a European embargo. It will cost $500 to $700 millions.
NAYARAENERGY
After a one-year gap, Rosneft’s Indian private refiner purchased Russian oil. It bought about 1.8million barrels from Trafigura, a trader.
NEFTOCHIM BURGAS
Russian oil company Lukoil owns a Bulgarian refinery which continues to refine Russian crude.
PCK SCHWEDT
Rosneft owns 54% of Germany’s PCK Schwedt refining plant and receives crude oil through the Druzhba pipe.
PERTAMINA
PT Pertamina Indonesia, a state-owned oil company, is exploring Russian crude oil as it searches for oil to fuel a revamped refinery.
PKN Orlen
Poland’s biggest refiner, however, has stopped buying Russian crude for the spot market and is now buying North Sea oil. Urals are still being purchased under contracts previously signed, which will expire in the next year.
Company that operates refineries across Lithuania, Poland, and the Czech Republic saw its profit in refining increase in March due to Russian oil at a discount.
SINOPEC
China’s state-owned Sinopec, Asia’s largest refiner and producer of crude oil, will continue to import Russian crude oil from Russia under existing long-term contracts. However it is avoiding new spot agreements.
FORMER BUYERS
BP (NYSE -:)
British oil company Royal Oil will end its Rosneft stake and won’t enter into any new contracts with Russian shipping companies to load at Russian ports unless it is “essential” for supply security.
ENEOS
Japan’s largest refiner has stopped buying oil from Russia. Some cargoes that were signed under old agreements will be arriving in Japan around April. They plan to seek alternative supply sources in the Middle East.
ENI (BIT:)
It is 30.3% of the Italian government’s energy company that has suspended purchases from Russian oil.
Bayernoil in Germany will not use Russian crude oil, where Eni or Rosneft hold stakes.
EQUINOR
Norway’s state-owned majority energy company has stopped trading Russian oil, as it shuts down operations.
GALP
All new Russian oil products and Russian-related companies have been canceled by the Portuguese oil and natural gas company.
GLENCORE
Global mining and trading company Rosneft holds a 0.57 percent stake. However, it said that while the firm would honor its previous contracts but not enter into new trading businesses in relation to Russian-origin commodities, unless instructed by relevant government officials.
NESTE
Finnish oil refiners have not purchased Russian crude oil from the spot market since war began. They also do not intend to sign any new contracts, once the current long-term supply contract expires July 31st. The refiner replaced approximately 85% of Russian crude oil by other crudes since April.
PREEM
Mohammed Hussein al-Amoudi (the Saudi billionaire) owns Sweden’s largest refiner. It has “paused”, new Russian crude oil orders, accounting for about 7% of the company’s total purchases. The North Sea barrels will replace these Russian crudes.
REPSOL
Spanish oil company stopped purchasing Russian crude oil on the spot market.
SHELL
The largest global petroleum trader stopped purchasing Russian crude oil and announced on April 27 that it will no longer buy refined products containing any Russian content.
TRAFIGURA
Global commodities trader based in Geneva plans to cease all crude oil purchases from Rosneft beginning May 15, when stricter EU oil export rules come into force. It also intends to “substantially” decrease the volume of Rosneft-sourced refined products.
TOTALENERGIES
French oil company Total said that it will not renew or enter into existing Russian contracts for crude oil and other petroleum products. It also stated its intention to end all Russian purchases by 2022.
These contracts cover supplies to Leuna’s eastern German refinery, which receives Russian crude oil via the Druzhba pipe, and Europe’s gasolineoil supply.
VARO ENERGY
Swiss oil refiner Bayernoil, which holds 51.4% of Germany’s Bayernoil refinery has stated that it doesn’t intend to sign new contracts to purchase Russian crude.
[ad_2]
