Turkey has begun diversifying its oil imports away from Russia, purchasing crude from as far as Brazil. This shift comes after the country’s largest refiner, Turkiye Petrol Rafinerileri (Tupras), limited its intake of Russian oil to barrels that comply with the G7 price cap, Bloomberg reported on Tuesday, citing data from Vortexa.
In March, Russian oil accounted for just 19% of Turkey’s crude imports, which total around 650,000 barrels per day (bpd). This is a significant decrease from last year, when more than half of Turkey’s crude came from Russia.
On February 27, Tupras was prepared to stop buying Russian oil and products that did not meet the G7 price cap.
Tupras is among the latest companies to limit its purchases of Russian oil in response to U.S. sanctions, which were imposed on January 10. These sanctions targeted two major Russian oil firms, Gazprom Neft and Surgutneftegas, along with 183 vessels, oil traders, service providers, insurance companies, and energy officials.
The G7 price cap, part of Western sanctions, allows Russian crude shipments to third countries to use Western insurance and financing if sold at or below $60 per barrel. This measure, which came into effect in late 2022, followed the EU’s embargo on Russian crude imports.
As Tupras reduces its reliance on Russian oil, the company has turned to Brazil, purchasing a cargo of medium sweet crude. The cargo, which departed from Madre De Deus in Brazil on March 3, is headed for Turkey’s port of Izmit. According to Bloomberg, this marks Turkey’s first import of crude from Brazil since government data on such shipments began in 2007.
Related Topics:
- Oil’s Oversupply Crisis: Will Prices Stay Above $60?
- Experts Warn That Current Oil Prices May Lead to a Future Crisis
- India’s Oil Imports from Russia Surge After Initial Sanctions Disruption