Pages

Monday, November 14, 2022

India sends more vacuum gasoil to the U.S. as the West shuns Russian oil :-Reuters By Jeslyn Lerh

 SINGAPORE, Nov 11 (Reuters) - India stepped up vacuum gasoil (VGO) exports to the United States this year in an unusual trade flow for the oil product as the West seeks alternatives to replace Russian supplies, according to traders and data analytics firms.

The United States and Canada banned Russian oil imports over Moscow's invasion of Ukraine, while sanctions from the European Union on Russian crude and oil products imports will take effect on Dec. 5 and Feb. 5, respectively.Meanwhile, India, the world's third-largest oil importer, has been ramping up Russian crude imports and increasing oil product exports to the West for higher margins.In the latest move, global oil traders Vitol (VITOLV.UL) and Trafigura (TRAFI.UL) have bought one cargo of VGO each from Indian refiner Nayara Energy (ESRO.M3) in tenders at premiums ranging from $10 to $15 a barrel to Dubai crude quotes, market sources said.At these premiums, the cargoes, to load from India's Vadinar port in December, are likely to head to the United States or Europe, said the sources.Prior to this, Aframax tanker Shanghai Dawn loaded at least 80,000 tonnes of VGO from Reliance Industries Ltd's (RELI.NS) Jamnagar port, arriving in the United States in late October to early November, shipping data from Vortexa and Refinitiv showed.

Nayara Energy, Reliance and Vitol did not respond to requests for comments. Trafigura does not comment on individual shipments, a spokesperson said.


A vessel ships vacuum gasoil from India to the U.S.
A vessel ships vacuum gasoil from India to the U.S.



No comments:

Post a Comment