India and China argue over ESPO crude from Russia in April, prices rising

15 Mar 2023

Private Indian refiners are jostling with independents in China Russian ESPO crude loading in April pushing prices higher after Moscow lower sports of its flagship grade Urals, industry sources said.China, which is said to import record volumes of Russian crude in March typically sweets up all of the ESPO crude exported from the Pacific ports of cause me know due to close proximity while sanctions on Russian oil has shrunks the pool of buyers.However, for April Indian refiner Reliance industries Ltd and Nayara energy have snapped up at least five of the about 33 ESPO crew cargoes due to low prices four people familiar with matter said.One of the sources that price of April loading ESPO crude to India were about $5 a barrel below Dubai quotes on a delivered ex-ship basisIndian refiner’s mostly by Russian oil on delivered basis with the seller arranging for insurance freight and ship.Indian companies are using non dollar currencies to settle payment for certain niche Russian crude and are avoiding use of Western services and banks to avoid sanctions.Competition from India has narrow discounts for April loading ESPO shipments to about $6.80 a barren against June IEC brent DES basis to Northern China from 8.50 a barrel last month for March loading oil, 3 trading Source said.