Some state-controlled Chinese refiners have reduced their purchase of Russian oil loads in March to assess the risks of dealing with approved entities, according to crude oil prices, and to make it clearer about Russia’s Ukraine ceasefire and potential US sanctions relief for Russia’s oil trade.
State-owned sophisticated giants China Oil and Chemical Company, or Sinopek, and Zhenhua Oil, suspended the purchase of Russian crude loads this month amid concerns about trade sources that they told Reuters on Friday amid concerns over secondary sanctions.
Oil giants Petrocina and CNOOC continue to buy Russian oil due to Reuters loads, but according to some Reuters sources, it is slowing down.
While the Chinese state oil companies are shutting down or reducing Russian oil volume, at least for now, independent Chinese refiners who prefer to buy cheaper Russian and Iranian oil are picking up slack.
China’s oil majors are taking a more cautious approach to Russia’s performance after US sanctions, the report added.
MA/PR