Russia has significantly increased its crude oil exports to China and India this year. Nikolay Tokarev, the head of Russian oil pipeline monopoly Transneft, revealed that volumes to China have reached 100 million tons annually, or roughly 2 million barrels per day. In an interview with state television Rossiya 24, Tokarev stated that export volumes to China and India have increased many times over. About 70 million tonnes of oil were supplied to India this year, while around 100 million tonnes of oil went to China.
According to Tokarev, Russia has entered new markets this year, including Egypt, Morocco, Myanmar, and Pakistan. China and India have become the primary export outlets for Russia’s oil in 2023, following the EU embargo on Russian crude and products and the G7-led price caps.
In November, Russia remained China’s top crude supplier, with Beijing importing around 2.2 million bpd of Russian oil last month. Between January and November, China’s imports of Russian crude oil rose by 22.2% compared to the same period in 2022.
India has also become a top buyer of Russian crude oil alongside China since the Russian invasion of Ukraine, the embargoes, and the price cap imposed on Moscow by the EU, the US, and the G7 to stifle Putin’s oil revenues. According to data obtained from trade sources, Indian imports of Russian crude reached a four-month high last month, at 1.6 million bpd. The November imports were 3.1% higher than India’s intake of Russian crude in October and accounted for more than a third of all Indian crude oil imports last month.
Oil and Bitumen Prices
Brent crude oil surpassed the $80 resistance level on Wednesday, due to increasing tensions in the Middle East. The Houthi attacks on Red Sea shipping also showed no signs of easing, leading to concerns about potential price-disrupting disruptions to the energy trade. At 10:38 a.m. ET on Wednesday, Brent was trading at $80.20, up 1.22% on the day. Meanwhile, West Texas Intermediate (WTI) was trading at $74.96, up 1.38% on the day.
Bitumen price in Singapore rose to 468 USD, South Korea and Bahrain bitumen settled at 385 and 400 USD.
Prepared by Rumays specialists group.