OIL
The new US sanctions on Russian crude and products is bullish for oil globally, but history has shown Russian barrels generally find markets despite sanctions, Platts said.
- “That reality will likely cap the bullish impact of the measure” Platts added.
- Additional sanctioned ships will make it more difficult for Russia to export crude and products, and freight rates are likely to rally as vessel tonnage tightens, according to Platts.
- Russian exports on these newly sanctioned tankers totaled 1.25 million b/d in 2024. 920,000 b/d comprised of crude, mainly to China and India, Platts said.
- A further 330,000 b/d of Russian ULSD and HSFO was also shipped on newly sanctioned tankers in 2024. Of this 30% found a market in Turkey. Brazil, Greece, Egypt, China and India are also buyers of Russian refined products.
- These newly sanctioned vessels also carried crude and refined products of non-Russian origin, bringing the total to 1.8 million b/d, Platts added.
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