Russian Diesel Exports From Primorsk Port Will Increase by 24% Next Month

News was prepared under the information support of Online Daily Newspaper on Hellenic and international Shipping "Hellenic Shipping News".

30 Jun 2010

Russian exports of low-sulfur diesel from the port of Primorsk on the Baltic Sea will rise 24 percent in July, the highest in at least four months. Exports will increase by 121,000 metric tons to 635,000 tons in July from 514,000 tons this month and 520,000 tons in May, according to two people with knowledge of the loading schedules.
Diesel exports from Primorsk totaled 170,000 tons in April as TNK-BP completed maintenance at its 340,000 barrel-a-day Ryazan refinery and OAO Slavneft finished repair works on its 290,000 barrel-a-day Yanos refinery at the end of that month. In March 450,000 to 500,000 tons of the fuel was shipped.
Low-sulfur diesel from Russian refiners such as OAO Lukoil, OAO Gazprom and TNK-BP, is typically transported through the OAO Transneft-operated oil-product pipeline to Primorsk, then loaded onto tankers and shipped to Europe.
Northwest European low-sulfur diesel cargo swaps for July were at a premium of $16.44 a ton to July ICE gasoil futures on June 25, the lowest since December 4, 2009.
The premium of gasoil over Brent crude, or crack spread, a measure of refining profit, was at $12.55 a barrel at 9:12 a.m. on London’s ICE Futures Europe exchange, down from $12.64 on June 25. Gasoil includes diesel and heating fuel.

Source: Bloomberg