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China’s Shangdong Hub Starts Releasing Oil Following Inspections

OIL

China's Shandong refining hub has begun releasing millions of barrels of oil that were stuck at ports after inspections curbed imports into the province, trading sources said.

  • The stranded oil is estimated at over 10mn barrels, and originated from Venezuela and Iran, rebranded as bitumen mixtures, sourced from Malaysia to circumvent sanctions, three traders said.
  • Chinese customs had tightened tanker inspections after several Iranian cargoes were found mislabeled.
  • The easing of curbs placed on China's top oil importing province in mid-April will help free up inflows of heavy crude from Venezuela and Iran, they said.

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