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Russian Urals oil sales to Turkey in Nov. up 38% m/m as STAR refinery increases runs

Russian Urals oil supplies to Turkey's ports in November increased to 9.9 MMbbl from 7.4 MMbbl in October as its main consumer was back from outage, LSEG data showed on Wednesday.

Turkey's STAR refinery, operated by Azerbaijan's SOCAR, resumed buying Urals as a feedstock after maintenance, the data showed.

Turkey which didn't join Western sanctions on Russia continues to be one of major buyers of Moscow's energy supplies including crude oil. On a daily basis Urals oil supplies to Turkey are up by 38% in November to 330,000 bpd from October, calculations showed. November is one day shorter than October.

STAR oil refinery completed its first major overhaul in October and resumed full processing, STAR's representative said. Following the maintenance the refinery's capacity was increased by 2% to about 260,000 bpd, or 13 metric MMtpy.

STAR refinery is a major buyer of Russian Urals oil in Turkey: It purchases the volumes both in the spot market and under term contracts.

For several months this year Urals oil arrivals to STAR's Nemrut Bay terminal were close to its capacity - around 200,000 bpd, according to LSEG data. Russia's Lukoil is a major supplier to the refinery under a deal signed last year.

Turkey's large refiner Tupras also purchases Urals oil for its refineries in Izmir and Izmit.

India remains a top destination for Urals oil cargoes in November accounting for over 60% of cargo arrivals so far this month, LSEG data and Reuters calculations showed.

Meanwhile, China's buying of Urals oil grades remains reserved with just a few cargoes or about 5% of the grade's supply heading to Chinese ports.

China's oil imports have been declining for six months in a row affected by weak refining margins and slower than expected economic growth. China remains top buyer of Russian Far Eastern oil grades located in closer proximity to its ports: ESPO Blend, Sokol and Sakhalin Blend.

 

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