The most striking decline in bunker fuel oil sales was in Russian Far East — by 40% to around 3.6 million t.
A recent market survey conducted by Argus shows fuel oil sales at Russian seaports decreased by 26% compared to 2015 to 8.8mn tonnes (t) in 2016.
The main reasons of such decline were the changes in tax legislation that resulted in higher profitability of export and decline in fuel oil production amid lower refinery utilization rate and upgrade of refineries. Cut in fuel oil output at Russian refineries by 21.3% or by 15.8 million t compared to 2015 to 58.5 million t in 2016 added to the drop in bunker fuel oil sales.
The most striking decline in bunker fuel oil sales was in Russian Far East — by 40% to around 3.6 million t. At the ports of Azov-Black sea basin such sales decreased by 12.5% to 2.6 million t. The ports of Baltic and Arctic basins also showed a cut in bunker volumes — by 9.2% to 2.4 million t and by 22% to 0.205 million t respectively.
At the ports of Azov-Black sea basin such sales decreased by 12.5% to 2.6 million t
Around 70% of sales were made by subsidiaries of major oil companies like Gazpromneft Marine Bunker, Lukoil-Bunker, RN-Bunker and NNK-Bunker. The share of independent players is not so significant and keeps falling.
Argus invites you to join its webinar on Russian bunker market overview: The results of 2016 to learn more about the latest market trends and fundamentals.
The webinar will cover:
Bunker fuel oil sales in Russia (Far East, western, arctic and southern ports)
Price trends and discounts for bunker fuel oil at Russian ports to major ports in Asia-Pacific, European and Mediterranean regions
Fuel oil output and export volumes
Cargo turnover at Russian ports
Date: Thursday 16 March, 2017, 9:00 GMT
Speaker: Galina Borisova, Editor, Argus Russian Fuel Oil
Register your details to listen to this free webinar.
Click Here to Register now