Fresh gasoil from Russia reaches Syria

April 10, 2013 - 12:56:19 am

LONDON: A fresh delivery of Russian gasoil has reached a government-controlled port in Syria this month, according to shipping sources and tracking data, adding to a string of cargoes that have flowed into the war-ravaged country this year.

Delivering refined oil products to Syria is not explicitly prohibited by sanctions, but the European Union has blacklisted the state’s oil trading and distribution firms.

Since Syria announced it had set up new private firms to import oil products at the start of the year, trade has boomed. Around 20 shipments of gasoil and heating fuel reached the state-controlled port Banias last month. 

Shippers said the latest shipment was supplied to third parties by top Russian oil producer Rosneft, but the oil giant refuted this. 

Rosneft initially responded that it sold products for loading at its ports and was not responsible for their final destination “We are selling oil products from Tuapse on a FOB (free-on-board) basis, and therefore Rosneft has responsibility for the cargo only until it is loaded into a tanker,” a Rosneft spokeswoman said.

“After that, it is the buyer who becomes responsible for the cargo including its destination.” 

Later Rosneft denied that it had supplied the cargo.

“These are oil products from other companies with which we have agreements on loading,” the spokeswoman said, refusing to disclose the names of the companies. 

The Kemal Ka loaded 11,500 tonnes of gasoil at the Russian port of Tuapse at the end of March and delivered the cargo to Banias in the first week of April, shipping sources said and tracking data showed.

At current prices, the cargo would have been worth around $10m, but market sources said trade with Syria is more lucrative because few firms are willing to do business with President Bashar Al Assad’s increasingly isolated state. 

Most deliveries to Syria arrive aboard Greek or Italian-managed vessels from Lebanon, Turkey or the Black Sea.

One shipper estimated the freight rate for deliveries from the Black Sea to Syria to be around 205 percent of the worldscale rate set as a reference for deliveries along that route.

The Kemal Ka is listed as part of a fleet owned by Akbaolu Shipping Group in Istanbul, according to the firm’s website.

“Unfortunately we are not able to give you any information on the subject voyage,” the chartering manager wrote in an emailed response to queries, declining to identify the firm or firms chartering the vessel.       

Reuters

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