SEATTLE (Oil Monster): Chinese provincial government-backed refiner Yanchang Petroleum is avoiding Russian oil in its latest crude oil tender for deliveries between December and mid-February, two traders with knowledge of the matter said on Tuesday.
Yanchang, located in the landlocked northern province of Shaanxi, has been a regular buyer of Russian oil, typically taking in one shipment per month, usually Far East export grade ESPO blend or Sokol, one of the traders said.
Yanchang did not immediately respond to a request for comment.
A raft of recent western sanctions on Russian oil shipments, including U.S. measures last month against Moscow's top two exporters, has led China's state oil companies and some Indian refiners to avoid buying Russian oil due to concerns about falling foul of secondary sanctions.
China and India are Russia's top oil export markets.
Yanchang, which can process 348,000 barrels of crude per day, is one of the largest refiners in inland China and is entitled to an annual import quota of 3.6 million metric tons or 26 million barrels.
The refiner typically receives imported crude from Tianjin port, near Beijing, where the oil is shipped to it by rail.
Courtesy: www.tradingview.com
