2024.12.04

US Sanctions 21 Tankers linked to Iranian oil trade and dark fleet operations

The US Treasury Department has sanctioned 21 ships and 14 companies for their involvement in transporting Iranian oil, allegedly using deceptive practices to evade sanctions.

Among the sanctioned vessels is the 300,000-dwt VLCC Ceres I, linked to a collision with the Hafnia Nile, which caused an oil spill near Malaysia. The Ceres I has reportedly been transporting Iranian oil since 2021 while manipulating tracking signals. Companies managing these vessels, including firms in China, India, and the UAE, have been accused of aiding these trades.

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Sanctioned tanker reroutes Russian oil via Scotland amid UK's expanded sanctions

The Aframax tanker Attica, recently sanctioned by the UK for carrying Russian oil, is transporting crude from Russia’s Baltic Ust-Luga terminal to India via an unusually lengthy route. Instead of using the traditional English Channel passage, it is sailing around Scotland’s Shetland Islands, extending the journey to the Mediterranean by about two days or 25%. The Attica is the first tanker to adopt this route since the sanctions were announced.

Carrying 730,000 barrels of Russian Urals crude, the tanker is signaling a destination of Egypt’s Port Said, a waypoint for the Suez Canal, but is expected to continue to Vadinar, India.

[SLOW] https://slowspace.io/ Flow MT Yi Meng Shan, ex Attica

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OPEC+ likely to extend oil production cuts through Q1 2025

OPEC+ is expected to extend its current oil production cuts through the first quarter of 2025, according to sources ahead of its Thursday meeting. The group, which controls nearly half of the world’s oil supply, aims to stabilize prices amid slowing global demand and rising output from non-OPEC+ producers.

OPEC+ has been holding back 5.86 million barrels per day (bpd) since 2022, with additional cuts of 2.2 million bpd agreed recently. A modest 180,000 bpd production hike initially planned for January has been delayed due to weak prices, and discussions continue on the timing of increases, including the UAE's phased hike of 300,000 bpd scheduled for 2025.

[SLOW] EIA - Crude Oil Outlook _ Non-OPEC countries oil supply outlook

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Iraq shuts down refinery in Basra amid fuel oil storage overflow

Operations at Iraq's Shuaiba refinery in Basra were halted due to overloaded fuel oil storage tanks, as no ships arrived at Khor al-Zubair port to export the product since mid-last week. The refinery, which previously produced around 260,000 barrels of fuel oil daily, suspended activities to prevent further storage issues.

The state oil marketer SOMO oversees the export process, but no timeline for resuming operations was provided. Both SOMO and Iraq’s oil ministry have yet to comment on the situation. The refinery's restart depends on the arrival of ships to relieve the storage backlog.

[SLOW] https://slowspace.io/ Flow Port Khor Al Zubair

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Venezuela nears 1 million bpd in oil exports as Asian demand drives growth

Venezuela's oil exports surged in November, reaching an average of 974,033 barrels per day (bpd), the highest since early 2020. This marked a 10% increase from October and a 57% rise from the previous year, fueled primarily by demand from Asian markets, particularly China, which accounted for 613,000 bpd. Exports to Europe also rose, while shipments to the U.S. through Chevron's sanctioned license decreased slightly.

Despite infrastructure issues, including a significant explosion at a natural gas center, state oil company PDVSA managed to boost exports. However, exports of byproducts like methanol and petroleum coke declined. Political and operational challenges persist, including U.S. sanctions and claims of sabotage by Venezuelan officials. The country also increased shipments to Cuba and imported heavy naphtha and gasoline blend stock via authorized agreements.

[SLOW] EIA - Crude Oil Outlook _ Venezuela Production

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North Sea oil market experiences largest trading surge in 16 years amid price uncertainty

The North Sea crude market recorded its busiest trading day in 16 years, with eight cargoes—equivalent to 5.6 million barrels—changing hands during a Platts pricing window. Major buyers included Trafigura Group and TotalEnergies SE, while sellers included Equinor ASA and Gunvor Group. The traded grades, such as WTI Midland, Forties, Brent, and Oseberg, are key components of the Dated Brent benchmark, which underpins global oil pricing.

This unusually active trading occurred despite December typically being a quiet month as traders wrap up their books. The surge reflects uncertainties surrounding oil prices, influenced by factors like OPEC+ production strategies, China’s economic recovery, geopolitical tensions, and incoming US tariffs. Benchmark futures have hovered between $70 and $80 per barrel, but this heightened trading activity underscores potential shifts in market sentiment for the months ahead.

[SLOW] Oil Market _ North Sea Oil Price

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