• 4 minutes Will We Ever See 100$+ OIL?
  • 8 minutes Iran downs US drone. No military response . . Just Destroy their economy. Can Senator Kerry be tried for aiding enemy ?
  • 11 minutes Energy Outlook for Renewables. Pie in the sky or real?
  • 2 hours Shale Oil will it self destruct?
  • 6 mins NYT: Mass Immigration Roundups in U.S. to Start Sunday
  • 2 hours White House insider who predicted Iran False Flag, David Goldberg found dead in his New York apartment
  • 6 hours U.S. Administration Moves To End Asylum Protections For Central Americans
  • 4 hours U.S.- Taiwan: China Says Will Freeze Out U.S. Companies That Sell Arms To Taiwan
  • 6 hours South Korea imports No Oil From Iran in June - First-Half Imports Fall 37%
  • 6 hours Starlink Internet Courtesy of Tesla
  • 2 days Panama revoked registrations of tankers flying under their flag that have not complied with sanctions. Most are Iranian tankers. Vessel seized in Gibraltar, Grace I, flying under Panamanian Flag. Registration revoked in May. England seizing justified
  • 1 day Oil Price Could Fall To $30 If Global Deal Not Extended
  • 1 day Rising air pollution and green house effect
  • 2 hours Germany exits coal: A model for Asia?
  • 1 day Is This The End of BBQ?
  • 23 hours U.S. Economic Expansion: Rich Get Richer
Oil Prices Rise Amid Further Rig Count Decline

Oil Prices Rise Amid Further Rig Count Decline

Oil prices inched higher on…

Global Intelligence Report – 10th July 2019

Global Intelligence Report – 10th July 2019

ExxonMobil’s generous royalty deal with…

IEA: Dirty Russian Oil Affects 250,000 Bpd European Refinery Runs

PKN orlen refinery

The contamination issue with Russian oil pipeline supply will impact European refinery runs to the tune of 250,000 bpd in the second quarter, which is below 2 percent of Europe’s refined oil product demand, according to the International Energy Agency (IEA).

Last month, Russia halted supplies via the Druzhba oil pipeline to several European countries due to a contamination issue, which the Russians say was deliberate. Russian production has been curtailed because of the restricted exports via the Druzhba pipeline. 

Hungary, Poland, and the Czech Republic were said earlier this month to be releasing a total of 8 million barrels from their respective strategic petroleum reserves to keep refineries operating after the contaminated crude oil forced the shutdown of the pipeline.

The oil was contaminated with organic chlorine, a substance used in oil production to boost output but dangerous in high amounts for refining equipment. The amounts of the chemical were found to be at levels much higher than the maximum allowable amount.

According to Russia’s energy ministry, normal deliveries via the pipeline are expected to resume in the second half of May. 

Poland’s refiners PKN Orlen and Grupa Lotos said on Tuesday that they expected to start receiving in the coming days crude oil with normal quality via the Druzhba pipeline.

In its Oil Market Report on Wednesday, the IEA said that apart from the growing supply concerns in the Middle East, it is also monitoring the impact of the contamination of Russian crude oil passing through the 1.4-million-bpd Druzhba pipeline system.

“The issue will be resolved in due course, eased by commercial and government stock draws by Russia’s customers. One consequence could be a loss of confidence in the quality of the crude flows and thus a search, where feasible, for alternative supplies that could intensify price pressures for heavy/medium sour crude oil,” the IEA said.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play