China buys Russian oil at record pace

In February, Russian oil deliveries to China will amount to 2.07 million barrels per day, exceeding January's figure of 1.7 million barrels per day, according to Reuters.

Imports in February amounted to 2.083 million barrels per day, up from 1.718 million barrels per day in January.

Since November, China has replaced India as Moscow's main customer for maritime supplies, as Western sanctions over the war in Ukraine and pressure to conclude a trade deal with the US forced New Delhi to cut imports of Russian oil to a two-year low in December.

Russian oil imports to India in February are estimated to fall to 1.159 million barrels per day.

This has led to Russian oil prices falling $9-11 per barrel below the ICE Brent benchmark price for January/February deliveries to China, the lowest level in recent years for Urals crude.

Urals oil, as well as other export grades such as Sokol and Varandey, have been added to regular shipments of Russia's flagship ESPO blend exported from the Far Eastern port of Kozmino, located closer to China, creating strong competition from Iranian supplies.

Independent Chinese refineries, known as “teapots,” are the world's largest consumers of oil from Russia, Iran, and Venezuela, which the US has imposed sanctions on.

Photo: Channel 24.