Page 8 - MEOG Week 04 2023

MEOG PIPELINES & TRANSPORT MEOG

Saudi remains China’s top crude supplier

SAUDI ARABIA SAUDI Arabia remained top crude oil supplier Crude oil imports from Malaysia nearly dou-
to China during 2022, with deliveries averag- bled during 2022 from the 2021 total. GAC data
ing 1.75mn bpd, or a total of 87.49mn tonnes, shows Malaysia accounting for 35.68mn tonnes
according to data released by China’s General during 2022, up by 92.6% from 18.53mn tonnes
Administration of Customs (GAC). in 2021.
The total volume was slightly down by 0.1% Iranian and Venezuela crudes, both in US
from Saudi crude imports during 2021, which sanctions crosshairs, are reported to be shipped
amounted to 87.56mn tonnes. According to to Malaysia where it is blended and then sold on
the GAC, China’s total oil imports for 2022 to China.
declined 0.9% to 508.28mn tonnes compared Some Russian crude is also thought to be in
to 512.92mn tonnes in 2021, or the equivalent the mix. China is acknowledged as the largest
of 10.21mn bpd imported last year compared to foreign buyer of Iranian crude oil.
10.30mn bpd in 2021. During the month of December 2022, Saudi
China’s number two supplier remained Rus- Arabia supplied China with 7.12mn tonnes, up
sia, which has been selling discounted barrels to by 7.4% over 6.62mn tonnes in December 2021.
Chinese refiners as a means of coping with inter- Russian crude imports were down to 6.47mn
national sanctions against sales of Russia crude tonnes in December 2022 compared to 7.24mn
in response to Russia’s invasion of Ukraine. tonnes December 2021 (before the start of the
China imports an average of 1.72mn bpd of Rus- war in Ukraine in February 2022). Malaysian
sia crude last year, or 86.25mn tonnes, according imports rose to 5.52mn tonnes in December
to the GAC, up by 8.3% from 79.64mn tonnes 2022 compared to 3.04mn tonnes from the year
in 2021. before.
Other Middle Eastern suppliers continued to China’s total crude imports for the month of
be major crude sources for China in 2022. Iraq, December amounted to 48.07mn tonnes, up by
the UAE, Oman and Kuwait shipped 55.49mn 4.2% from 46.12 from December 2021. Daily
tonnes, 42.77mn tonnes, and 39.37mn tonnes, barrel imports averaged 11.37mn bpd in Decem-
and 33.28mn tonnes of oil respectively last year. ber compared to 10.91mn year-on-year.™

POLICY & SECURITY
Qatar backpedals on Russia comments

QATAR QATAR appeared to backpedal on controversial another country; we don’t accept threatening by
remarks made by its energy minister last week, force or the use of force; we don’t accept civil-
that Europe would “forgive and forget” Moscow ians to be hurt. And we have been demonstrat-
for its invasion of Ukraine and resume gas sup- ing this throughout our votes within the United
plies from Russia. Nations,” she said.
“We’re all blessed to have to be able to forget “Our message to the Russians, to the Ukrain-
and to forgive. And I think things get mended ians has been always … these kind of differences
with time … they learn from that situation and and disagreements shouldn’t be resolved in a
probably have a much bigger diversity [of energy battlefield, they should be resolved through dia-
intake],” Saad Sherida al-Kaabi, who serves as logue,” he said.
Qatar’s energy minister and the head of its state Prior to the war Russia accounted for around
gas company, said during an energy forum in 45% of Europe’s gas supply. But this figure has
Abu Dhabi on January 15. since fallen to under 7%, largely as a result of
Russia continues to launch missile strikes Gazprom cutting deliveries to customers that
on civilian infrastructure in Ukraine including refused to pay in rubles, and the supplies ceas-
energy facilities, resulting in civilian deaths and ing via the Nord Stream 2 and Yamal-Europe
rolling blackouts across much of the country. pipelines.
Asked if al-Kaabi’s statement reflected Qatar’s One of the alternative suppliers that the EU
official position, Foreign Minister Mohammed has engaged with to replace these lost volumes
bin Abdulrahman Al Thani said on January 17 is Qatar, which has been diverting cargoes to
said it did not. Europe that would have otherwise gone to the
“Well, it’s not actually. First of all, politically Asian market, and is set to ramp up its LNG pro-
speaking, when we are talking about the situa- duction capacity to 126mn tonnes per year by
tion and the war, Qatar has a very clear political the late 2020s, from 77mn tpy currently, through
stance on this: we don’t accept the invasion of two expansion phases at the giant North field.™

P8 www. NEWSBASE .com Week 04 25•January•2023