Two tankers with Russian oil drop anchor at sea in sign sanctions hit sales
Sign up now: Get ST's newsletters delivered to your inbox
Sanctions by the US and EU against Russia’s oil sector are aimed at pushing Moscow towards peace negotiations over its war in Ukraine.
PHOTO: EPA
Follow topic:
- Two tankers with 1.5 million barrels of Russian Urals crude are anchored near the Suez Canal, signalling difficulties in selling Russian oil due to tightened Western sanctions.
- US and EU sanctions target major Russian oil firms like Rosneft and Lukoil, impacting about 5% of global oil supply and leading to discounted prices in Asia.
- According to LSEG and OilX, the tankers Sikar and Monte 1, loaded in early October, have been anchored for over a week, highlighting logistical strains on Russian oil exports.
AI generated
MOSCOW - Two tankers carrying around 1.5 million barrels of Russian Urals crude have dropped anchor at sea on either end of the Suez Canal, in an apparent sign of the difficulty Moscow is having selling oil after Western sanctions were tightened in October.
The vessels Sikar and Monte 1 were both loaded with oil from Russia’s Baltic port of Primorsk in early October and have remained anchored near the canal for over a week, according to tracking data from LSEG and OilX.
The United States and European Union have tightened sanctions against Russia’s oil sector, aiming to push Moscow towards peace negotiations over its war in Ukraine.
The latest US measures target Russia’s two biggest oil companies, Rosneft and Lukoil,
As a result, Russian crude is trading in Asia at its steepest discount to Brent for a year, with Indian and Chinese refiners reportedly cutting back on purchases.
According to OilX and LSEG, the Sikar, which loaded on Oct 6, stopped in the Mediterranean near the entrance of the Suez Canal on Oct 24 and has remained at anchor since. Its destination is listed as Port Said.
The Monte 1, which loaded on Oct 7, according to LSEG, passed through the canal on Oct 30 and is anchored in the Red Sea.
Reuters was not able to determine the supplier or seller of oil carried by the ships.
Both tankers fly under the flag of Gambia. The Sikar is managed by Glory Shipping HK, while Monte 1 is operated by Mariam Ship Management Service.
Reuters was unable to reach either ship manager for comment.
The anchorage of these vessels underscores the growing logistical and commercial strain on Russian oil exports, as sanctions increasingly deter buyers and complicate delivery routes. REUTERS
