February 13, 2025 11:03 GMT
OIL: VLCC to China Shows Russian Sanctions Workaround
OIL
The VLCC Daban is reported to be carrying Russian crude it received via a ship-to-ship transfer from sanctioned Russian tankers Bloomberg tracking shows.
- It is carrying the cargo to the Chinese port of Yangzhou.
- The Sokol crude it is carrying was received from sanctioned Russian shuttle tankers linked to Sakhalin-1.
- This particular VLCC, which is not sanctioned, previously worked in Iranian trade.
- The oil markets are trying to assess how restrictive the sanctions will be on Russian crude movements. They are down substantially short term but workarounds such as above are expected to develop.
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