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Forum => Kenya Discussion => Topic started by: Nowayhaha on May 28, 2023, 10:02:07 AM
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https://www.bloomberg.com/news/articles/2023-05-25/saudi-arabia-snaps-up-russian-diesel-and-sends-its-own-to-europe?in_source=embedded-checkout-banner
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https://thecradle.co/article-view/25303/saudi-arabia-tops-oil-reserves-with-russian-fuel-sells-its-own-to-eu
As the EU ban on Russian energy persists, Saudi Arabia has been importing millions of barrels of oil from Moscow, while simultaneously re-exporting its own supply to Europe, Bloomberg reported on 25 May.
“Saudi Arabia is snapping up millions of barrels of Russian diesel that Europe no longer allows, while simultaneously sending its own supplies back to buyers in the EU,” the report states.
According to Bloomberg, which cites data analytics firm Kpler, Saudi Arabia imported 174,000 barrels of Russian diesel and gasoil in April, and even more than that in May.
At the same time, it “became Europe’s top supplier, leapfrogging Russia since February,” the report says, adding that the kingdom “is not sending the same Russian fuel back to Europe as it’s importing, which would be in breach of EU sanctions.”
The exported fuels, which came from come from different parts of the kingdom, “were made to different specifications and … subject to long-term supply commitments,” a person familiar with the matter told Bloomberg, adding that increased refinement has helped boost exports.
This serves as an example of how the oil market has “absorbed” western sanctions and the price cap on Russian energy, allowing it to still flow in large quantities despite the intentions of Washington and Europe’s economic measures, the report goes on to say.
As a result, experts and oil market analysts have reached a consensus that the imposition of sanctions against Russia following the start of the war in Ukraine has backfired significantly on the west, particularly Europe.
The boost in Saudi Arabia’s import of Russian fuel comes in the aftermath of last year’s OPEC+ agreement to cut oil production levels, which sent western nations into a frenzy. Russia and the Arab member states of OPEC+ have continued to stick to the production cuts.
It also coincides with an unprecedented Saudi policy shift, which has seen the kingdom put its enmity with Iran and Syria to bed, and greatly expand its ties to Moscow and Beijing