Russian oil sale in Asia with delivery in March Stalled, India plans to increase American oil purchases.
Donald Trump, after the power, said the end of the Russian war against Ukraine should contribute to a reduction in oil prices. His predecessor Joe Biden also remembers the reduction of Russian oil revenues, spent by the aggression in war. American penalties and Trump plans to develop their own production have created significant problems for the Russian economy.
Destructive penalties
On January 10, the United States imposed major sanctions against the major Russian industry to finance the war in Ukraine – Nefyanaya. They spread to Russia’s largest oil production company: Gazpromneft and Surgutneftegaz, insurance companies, service providers to the oil and gas industry, Russian officials, as well as 183 SO -SO -SO – Called “Shadow” Fleet delivering Russia’s oil.
The main consumer of Russia’s oil is India and China. Russian oil purchased by these countries before American penalties are still being delivered and loaded, the number of new orders has been greatly reduced, and in India some companies have not released a single order for March.
The sale of Russia’s oil in Asia with delivery in March was stuck, Reuters reported with reference to information from merchants and data to vessels. This happened due to the lack of tankers after US penalties “knocking” more than 180 vehicles from the shadow fleet, and the cost of freight of non -console vessels increased several million dollars Many million.
As a result, the Russian Far Eastern Variety Espo became very expensive (the Brent Prize when delivered to the board the vessel was $ 3-5 per barrel, according to three merchants). In addition, market participants are afraid to end new transactions, as not only tanks, but also Gazprom NEFT, Surgutneftegaz and twelve -two oil industries have fallen under penalties.
According to the FGE consulting company, in early January, the Shandong Port Group of the Chinese Port Operator Prohibition of supply Courts and the following, on January 10, the “farewell” penalty of the Joe Biden administration will lead to the loss of those Processors in the Shandun provide provinces up to 1 million barrels per day. There are many independent refineries that actively buy ESP oil in recent years.
In the coming weeks, the import of Russian Far Eastern Oil in China will remain low after the fall of 717,000 barrels daily last week, according to Miya, senior analyst in Kpler.
In India, refinery is still extracted, uploaded until January 10, but it will only continue until the end of the transfer period on February 27 (transactions must be completed until March 12). But then you can expect short -interms of 450,000 barrels per day, FGE believes. Rystad Energy provides an estimate of 500,000 barrels.
Purchased from the United States
India, most likely, will increase the purchase of American Oil and Gas after US President Donald Trump’s statement about the intent to increase their production in the United States.
“There is a possibility of increasing energy purchases between India and the United States,” Hardip Singh Puri, Indian oil minister, told announcers, “more American energy bearers enter the market will welcome that is accepted. “
India is the third import and consumer of oil in the world, Russian sea oil has become the largest consumer at a decreased price after the European Union refused to obtain and impose sanctions in Moscow.
But now the penalties are forced by India to focus on other sources.
Price reduction
After Trump’s call to reduce oil prices, Energy Ministers of OPEC+ countries conducted negotiations on the eve of the planned peak of Cartel participants, which will take place next week.
Saudi Media reported that on January 27, Saudi Arabia’s energy minister, Prince Abdulaziz bin Salman, conducted negotiations with Riyadh with colleagues from Iraq and Libya. They discussed issues of “strengthening joint efforts for the stability of energy markets” and cooperation to achieve common goals. According to Reuters, the Saudi minister also secretly met with the United Arab Emirates Energy Minister.
On February 3, a meeting of the Joint Ministerial Monitoring Committee was held – a group of higher ministers of OPEC+countries, who could recommend changes in oil manufacture policy. Officially, OPEC+ has not commented on President Trump’s call, but five group representatives have not identified Reuters that the current production plan has not changed much at the meeting.
OPEC+ countries are now supporting production at 5.86 million barrels a day after many abbreviations since 2022. According to current plans, they plan to start production increases from April.
At the World Economic Forum in Davos, the Saudi Arabia Faisal Al-Ibrahim Minister of Economics, who commented on Trump’s calls, noted that Saudi Arabia and OPEC are trying to ensure long-term stability in the oil market.
Source: korrespondent
I am David Wyatt, a professional writer and journalist for Buna Times. I specialize in the world section of news coverage, where I bring to light stories and issues that affect us globally. As a graduate of Journalism, I have always had the passion to spread knowledge through writing.