New heights for Gazprom’s ESPO crude

Following the supply of a further 100 000 t of East Siberian Pacific Ocean (ESPO) crude to the Chinese market in July, total volumes of ESPO crude exports by Gazprom Neft since the commencement of supplies have now reached 10 million t.

The payment for all of ESPO’s crude oil supplies – dispatched by Gazprom Neft to China throughout 2015 – have been made in Chinese currency: negotiations with purchasers on potential payment in rubles are ongoing.

In 2010, Gazprom Neft became the first exporter to commence transportation of ESPO oil from the Far East port of Kozmino under its own freight services, with delivery to ports in the Asia-Pacific region. The company supplies clients with oil transported by a pipeline and delivered by Aframax tankers.

Comments from Neft

Anatoly Cherner, Gazprom Neft CEO for Logistics, Processing and Sales, commented: “the main buyers of ESPO crude are China and Japan, although we also make deliveries to other countries in the Asia-Pacific region. In expanding exports eastwards, Gazprom Neft is diversifying delivery destinations as well as developing a system for payment in national currencies, promoting the company’s sustainable growth and development.”

Edited from various sources by Stephanie Roker

Read the article online at: https://www.worldpipelines.com/business-news/07082015/new-heights-for-gazproms-espo-crude/