Trade and logistics restructuring of the global oil market as the focus of REW 2023
Experts and guests of the
Russian Energy Week International Forum, which will be held in Moscow on 11–13
October, will discuss the prospects for energy cooperation between Russia and
the world’s largest emerging economies, including China, India, and African
countries. One of the key topics of the upcoming Forum is the impact of the
restructuring of transportation and logistics corridors on the global energy
sector.
“The global oil trade is
undergoing a major structural change. Middle Eastern countries, which used to
play an important role in providing commodities to the growing economies of
East Asia, are now increasing their oil supplies to Europe. In turn, Russia has
sharply increased its oil exports to India, China, and some other countries in
Asia Pacific. At the same time, Latin American countries, including Brazil and
Guyana, with a commensurate shipment distance to Europe and Asia Pacific countries,
are playing an increasing role in the market. The global oil market continues
to try to adapt to the current geopolitical events, Russian oil, despite the
West’s attempts to impose restrictions, enters various markets with a changed
price structure, logistics have become more complicated and expensive, as oil
tankers have to travel long distances to deliver raw materials and petroleum
products. The impact of these shifts on the future of the oil market will be
one of the most important topics of the upcoming Russian Energy Week,” said
Anton Kobyakov, Adviser to the President of the Russian Federation and
Executive Secretary of the REW 2023 Organizing Committee.
The largest importers of
Russian refined products in August 2023 were Turkey, India, and the UAE. These
three countries accounted for 46% of marine supplies from the Russian
Federation (1.04 mln out of 2.27 mln b/d). The role of Brazil, China and
Malaysia is becoming increasingly significant: these regional consumers
accounted for a total of 18% (397,000 b/d) of the total structure of Russian
oil products supplies. Singapore, which is actively developing its oil product
hub, accounted for another 7% of the Russian Federation’s refined products
shipments (152,000 b/d) in August. Greece and Malta also play a notable role:
transshipment of petroleum products takes place in the territorial waters of
these EU countries, making the total share of these countries in exports in
August 2023 8% (191 b/s).
“The restructuring of
logistics flows is not just a beautiful slogan, but a solid fact. For example,
in August 2023, the top 20 leading importers of petroleum products from the
Russian Federation included nine African countries: Algeria, Ghana, Egypt,
Libya, Morocco, Nigeria, Senegal, Tunisia, and Togo. The volume of marine
supplies of petroleum products from Russia to these countries reached 411
thousand barrels per day (b/d), and their share in the structure of Russian
exports amounted to 18%,” says Igor Yushkov, an expert of the REW Energy Club
In general, according to Igor
Yushkov, the volume of offshore supplies of oil products from Russia has
decreased by about 780,000 b/d over the past few months. This is primarily due
to Russia’s commitments to reduce oil production under the OPEC+ deal.
The Forum is organized by the
Roscongress Foundation and the Ministry of Energy of the Russian Federation,
with the support of the Moscow City Government.
Official website of Russian Energy Week: rusenergyweek.com.
You can follow the event and industry news on the official Russian Energy Week page on VK.
