Chinese independent refiners step up purchases of Iraqi crude
Private refiners in China have bought sizeable October-November volumes as they seek alternatives to shrinking Iranian supply.
Chinese independent refiners have increased purchases of Iraqi crude for October and November delivery, according to traders cited by Reuters. The buyers acquired Iraqi and Qatari cargoes from trading houses, with Iraqi Basra Medium and Basra Heavy making up most of the Iraqi supply.
The shift gives Iraqi barrels a larger role in China’s independent-refining market as Iranian flows decline. It also underscores the value of Iraq’s available crude supplies and trading logistics, although higher feedstock costs and weaker refining margins remain constraints for Chinese buyers.
Original reporting: Reuters ↗