Canadian oil flows to Asia increased after disruptions in U.S. refineries

Supplies of Canadian oil to Asia will reach the highest level in more than a year. The reason is disruptions of supplies from American refineries, which make companies look for new sales markets. 

Competent persons said that at least 7 million barrels of heavy-sour crude from Canadian tar sands was sold to Asia for February loading. According to Vortex data, this is the highest rate since January 2022. 

Unipec, the trading business unit of China’s oil refiner major Sinopec, will receive 3 million barrels. PetroChina Co. and Indian refiner Reliance Industries Ltd. will receive 2 million barrels. Repsol SA acquired anothermillion for the European market. 

The oil was sold after fires at two refineries in the US forced their management to shut down operations. As a result, Canadien companies lost the opportunity to sell oil.