• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 9 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 days How Far Have We Really Gotten With Alternative Energy
  • 23 hours By Kellen McGovern Jones - "BlackRock Behind New TX-LA Offshore Wind Farm"
  • 8 days Natron Energy Achieves First-Ever Commercial-Scale Production of Sodium-Ion Batteries in the U.S.
  • 9 days Bad news for e-cars keeps coming
  • 7 days The United States produced more crude oil than any nation, at any time.
  • 10 days RUSSIA - Turkey & India Stop Buying Russian Oil as USA Increases Crackdown on Sanctions

Russia’s Crude Oil Exports To Europe May Not Stay Low For Long

Russia’s seaborne crude oil exports are trending lower so far in August compared to July, but with Russia ramping up production with the easing of the OPEC+ cuts, this summer’s trend of low volumes of exports to Europe may not last long, IHS Markit said on Tuesday.

Russia has already increased its crude oil production in early August to 9.8 million barrels per day (bpd), up from below 9.4 million bpd last month, Fotios Katsoulas, Liquid Bulk Principal Analyst, Maritime & Trade, at IHS Markit wrote.

As OPEC+ is easing the record collective cuts of 9.7 million bpd to 7.7 million bpd as of August 1, Russia plans to raise its oil production by 400,000 bpd.

Russian seaborne crude oil exports plunged by 42 percent year-on-year in July and declined by 14 percent compared to June, according to data by IHS Markit Commodities at Sea. In the first half of August, cargoes loaded from Russian ports are 10 percent lower compared to July and 34 percent lower compared to August 2019.

Related: Norway’s Oil Fund Loses $21 Billion In First Half Of 2020

“Other suppliers have been quickly filling the gaps so far, but the increase in Russian production since early August could bring this trend to an end,” IHS Markit’s Katsoulas said.

While Russian shipments to Europe were at record low levels in July, crude oil cargoes from the U.S. to European importers strengthened in July, following three months of very low activity. U.S. cargoes loaded for Europe in July exceeded 1.2 million bpd for the first time since March 2020, while shipments in the first half of August remained above 1 million bpd. Refineries in north Europe are importing most of the U.S. crude oil as they prefer U.S. grades to Russia’s flagship crude export grade Urals, Katsoulas noted. 

In Russia’s refined products exports, an interesting development in recent weeks is increased Russian flows to the United States, especially of fuel oil. According to IHS Markit, “trade seems to be following seasonality, as August is typically a strong month for flows of refined products from Russia to the US.”

Nevertheless, Russia has generally exported more refined product volumes to the U.S. this year than in 2019, IHS Markit’s data showed.  

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News