Iranian tanker delivers oil to China

The Iranian tanker carried 2 million barrels of oil to the port of Dalian in Northeastern China. (File/AFP)
Updated 09 October 2018
0

Iranian tanker delivers oil to China

  • Iran is finding fewer takers for its crude ahead of US sanctions on its oil exports that will take effect in November
  • The shipping source said there is no buyer earmarked for the cargo

BEIJING: A vessel carrying 2 million barrels of Iranian oil discharged the crude into a bonded storage tank at the port of Dalian in northeast China on Monday, according to Refinitiv Eikon data and a shipping agent with knowledge of the matter.
Iran, the third-largest producer in the Organization of Petroleum Exporting Countries (OPEC), is finding fewer takers for its crude ahead of US sanctions on its oil exports that will go into effect on Nov. 4. The country previously held oil in storage at Dalian during the last round of sanctions in 2014 that was later sold to buyers in South Korea and India.
The very large crude carrier Dune, operated by National Iranian Tanker Co, offloaded oil into a bonded storage site at the Xingang section of the port, according to a shipping source based in Dalian, adding this was the first Iranian oil to discharge into bonded storage in nearly four years.
The tanker left the Iranian oil port at Kharg Island on Sept. 12, according to ship-tracking data.
The Xingang area is home to several tank farms including commercial and strategic reserves. China National Petroleum Corp. (CNPC) and Dalian Port PDA Co. Ltd. both operate commercial storage in the area, according to information on their company websites.
An investor relations official at Dalian Port declined to comment.
A manager at the bonded crude storage site operated by Dalian Port declined to comment whether Iranian oil were moved to the tanks, calling it the “worst time” to give any comment regarding Iranian crude because of the US sanctions.
A person at the CNPC-owned storage site who refused to identify himself when contacted by Reuters said it is “impossible” that the oil is stored there.
A spokesman for CNPC said he had no information on this matter.
An executive with the China office of National Iranian Oil Co. (NIOC) declined to comment. NIOC also did not respond to an email request seeking comment if it is storing oil at Dalian.
The shipping source said there is no buyer earmarked for the cargo.
Three other NITC tankers are set to arrive in Dalian in the next week or two, the ship-tracking data shows. Some of those cargoes are also likely to end up in bonded storage as the refineries in the region, controlled by CNPC, are not equipped to process Iranian oil, said three sources at state-run Chinese refiners.
China’s Iranian oil buyers, including state-owned refiner Sinopec and state trader Zhuhai Zhenrong Corp, have shifted their cargoes to vessels owned by NITC since July to keep supplies flowing as the US sanctions have been re-imposed.
Keeping oil in bonded storage gives the shipment owner the option to sell into China or to other buyers in the region.
In early 2014, NIOC leased bonded tanks in Dalian and oil from there was shipped to South Korea and India, Reuters reported.


Farmer turns ferryman as river engulfs Syrian hometown

Updated 11 min 57 sec ago
0

Farmer turns ferryman as river engulfs Syrian hometown

  • The father of four is working long hours each day paddling his boat around the streets helping stricken residents to get their children to school, do the shopping or check on relatives

DARKUSH, Syria: The alleyways of the Syrian town of Darkush are normally thronged with pedestrians but since the swollen Orontes River burst its banks, Abu Ihab’s boat has provided the main way of getting around.

The 49-year-old farmer normally takes a well-earned rest in January when winter frosts turn his fields as hard as rock.

But this year, days of torrential rain in the mountains of Lebanon has sent a deluge downstream, submerging the streets of his hometown under as much as 5 feet of water.

So instead the father of four is working long hours each day paddling his boat around the streets helping stricken residents to get their children to school, do the shopping or check on relatives.

“In winter, I don’t usually leave the house much as it is cold and it rains. But this year I felt that people needed me,” he says as he provides yet another ferry ride to grateful fellow townspeople.

Abu Ihab normally uses his boat for summer fishing on the Orontes to supplement his farm produce.

He is one of the few in the town to own one so he offers his services for free, delivering fresh bread from the bakery or ferrying excited children on an unaccustomed school run by boat.

“Today, people are staying at home. They can’t even get to the shops to buy food,” he says, wearing a woolly hat and jacket against the cold.

It is not the first year that he has provided his free boat service. “Most years there are spates but this year is a really big one because of the torrential rains,” he says.

The ground floors of houses close to the river have been inundated.

The Arab town close the Turkish border lies in Idlib province which is largely under the control of militants led by Al-Qaeda’s former Syria branch.

Across the province, the torrential rains have triggered flash floods that have caused widespread hardship, particularly in the vast tent cities set up for the displaced.

Civilians who have fled other parts of Syria recaptured by government forces make up around half of the resident population of Idlib and neighboring opposition-held areas.