Russian Oil Shipments by Sea Plummet 0 6

In the first 11 days of January, maritime exports of Russian oil collapsed by a third, from 455,000 tons per day to 280,000. This is reported by the media, citing data from the Price Index Center (PIC).

In particular, in the first two weeks of the year, shipments to India fell by 58 percent, according to data from services tracking tanker routes. The main reasons for this situation, as stated in the organization's review, were poor weather conditions at the port of Novorossiysk and increased waiting times for ships in ports awaiting berthing permits.

The PIC does not rule out that rising transportation costs for crude oil by shadow fleets are additionally pressuring exports. This has been exacerbated by attacks on tankers in the Black Sea and the seizure by U.S. forces of several vessels flying the Russian flag, suspected of violating sanctions.

One energy expert believes that these risks are leading to increased discounts on Russian oil. According to Argus data used in the OPEC report, in December, the average price of the Russian Urals grade was $35.6 per barrel, which is $5.5 lower than in November. The Urals discount to Brent increased from $22.5 per barrel to $27.1.

Meanwhile, in December, the first full month of U.S. sanctions against the largest Russian exporters, maritime shipments of Russian oil increased by 9.3 percent compared to November, although they remained below levels seen in October and September. This level has led to an accumulation of oil volumes on tankers, which, in turn, reduces export capabilities.