Page 13 - MEOG Week 33 2022

MEOG NEWS IN BRIEF MEOG

OIL offering a deeper discount to Russian crude and safeguarding,” a spokesperson said.
for its main buyer China, firms tracking the Former U.S. President Donald Trump
Saudi crude oil exports, flows said. withdrew from Iran’s nuclear deal with world
Despite U.S. sanctions Iran has boosted oil
powers in 2018 and reimposed sanctions,
output rise in June exports, largely to China, during President seeking to exert maximum pressure on its oil
exports and income.
Joe Biden’s term, but shipments have recently
Saudi Arabia’s crude oil exports rose in June, slowed due to competition with Russian Iranian exports then fell back to as little as
while output increased to a more than two- crude. 100,000 bpd at times in 2020, tanker trackers
year high, data from the Joint Organizations “Iran has been exporting more since the said.
Data Initiative (JODI) showed on Wednesday. new U.S. administration - oil, products and Iran generally does not release figures and
Crude exports in June rose about 2% to petrochemical goods,” Sara Vakhshouri of there is no definitive figure for its oil exports,
7.196 million barrels per day from about 7.050 Energy consultant SVB International said. with estimates often in a wide range. Tanker-
million bpd reported for May. read more And while high oil prices have reduced tracking companies use various methods,
Production in June rose to its highest level pressure on Tehran to do a nuclear deal, if including satellite data, port loading data and
in over two years, to 10.646 million bpd from talks to resurrect one succeed it would allow human intelligence, to monitor flows.
10.538 million bpd in May. Iran to boost sales beyond China, to former SVB estimates Iranian crude exports in
Saudi Aramco is ready to ramp up crude buyers in South Korea and Europe. read more July rose by 110,000 barrels per day from June
oil output to its maximum capacity of 12 Iran’s oil ministry did not reply to a request to 810,000 bpd. Petro-Logistics, which also
million bpd if requested to do so by the Saudi for comment. tracks the flows, saw a boost in June above
Arabian government, the state oil company’s Chinese crude imports could recover in 850,000 bpd, although this has since eased.
chief executive said on Sunday. August as the pricing advantage of Russian Vortexa, meanwhile, estimates China’s July
Saudi’s domestic crude refinery throughput oil, displaced by falling demand in Europe Iranian imports, all supplied to independent
rose 100,000 bpd to 2.849 million bpd, a on concerns about sanctions over Russia’s refiners or commercial storage, was about
record high for June, while direct crude burn invasion of Ukraine, wanes, Emma Li, analyst 500,000 bpd, compared to near 700,000 bpd
rose 105,000 bpd to 687,000 bpd. at Vortexa Analytics, added. in June.
Saudi Arabia’s crude exports to India in “Iranian crude was facing strong The estimated Chinese purchases include
July rebounded for the first in five months, competition from Russian Urals in July as relatively small volumes of official imports,
data obtained from trade and industry sources the non-sanctioned barrels were offered which totalled about 5.7 million barrels
showed. read more at similar discount levels. However, as the during the first six months of 2022 and went
Monthly export figures are provided price difference of the two widened, Chinese to state reserve, versus none during the
by Riyadh and other members of the refiners may turn back to cheaper Iranian corresponding period of 2021.
Organization of the Petroleum Exporting barrels in August,” Li said. Iranian crude for August was offered
Countries (OPEC) to the Joint Organizations By importing heavily discounted Russian at a discount of $11 a barrel to the Brent
Data Initiative (JODI), which published them and Iranian crude, China is boosting the benchmark on a delivered China basis, some
on its website. competitiveness of its economy versus the $8 below Russian crude Urals, traders said.
REUTERS West which is paying much higher prices for The price difference has widened from $3.5-$4
alternative crude grades from the Middle East, a barrel in late July.
Iran oil exports could rise Africa and the United States. July, Petro-Logistics tracked a decline to about
While SVB saw Iranian exports increase in
China’s foreign ministry said in response
further after June-July to a Reuters query, that while not aware of the 700,000 bpd from elevated June levels and said
so far August was at a similar rate.
details of oil flows from Iran, Beijing has long
increase opposed Washington’s sanctions. exports in May fell to low levels before surging
“After a strong first four months of the year,
“China maintains normal trade with both
Iran increased its oil exports in June and July Iran and Russia in various areas including oil. again in June. Volumes tempered in July,
and could raise them further this month by These legitimate cooperations deserves respect with August around the same level to date,”

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