Safety Fears Surround the New Trade in Russian Oil
Moscow is increasingly reliant on a large number of tankers that in previous years may have been demolished because of their age.
An oil tanker that caught fire on May 1 in the South China Sea highlights the concerns over a shadow fleet following sanctions on Russia.
Source: Malaysia Maritime Enforcement Agency
Welcome to Energy Daily, our guide to the energy and commodities markets powering the global economy. Today, Oil Trading Europe Team Leader Alaric Nightingale examines a developing risk for crude transportation following sanctions on Russia. Meanwhile, Ukraine grain-deal talks ended Thursday with an extension still in doubt. To get this newsletter sent straight to your inbox, you can sign up here.
While there might be some debate about the impact of Group of Seven sanctions on Russia’s petroleum trade, one thing is becoming clear: The measures are making the transportation of the nation’s oil increasingly unsafe.