According to data compiled by Bloomberg, by shipping Russian ESPO crude from Kozmino to Chinese shores, a shipowner can make $1.6 million — three times what he would have made before the war in Ukraine. The report cited shipowners who said industry players from Greece, China and Turkey were eagerly taking advantage of the situation. Normally, they use Aframax tankers, which can carry around 730,000 bpd of crude oil, and carry ESPO from the port of Kozmino on Russia’s Pacific coast. The trip from there to China takes five days, the Bloomberg report notes, which reduces downtime for tankers that then return empty to Kozmino, making the route particularly lucrative, according to shipping industry sources. China has become the main destination for Russian oil, along with India, since Moscow invaded Ukraine in late February. The European Union has announced plans to impose an embargo on Russian oil imports later this year, but in the meantime, it’s doing what it can to stock up ahead of the embargo. On a wider global stage, the G7 earlier this month discussed setting a price ceiling for Russian crude exports in an effort to limit the country’s revenue from oil and gas sales while keeping the global market well-supplied. In a note commenting on the idea, JP Morgan analysts warned that if Russia retaliates on the price cap, it could push oil prices to around $380 a barrel. In the first three months since the start of what Moscow calls a special military operation in Ukraine, it has earned $97 billion from oil and gas exports, according to a Finland-based think tank, the Center for Energy and Clean Air Research . By Irina Slav for Oilprice.com More top reads from Oilprice.com:
