As Bloomberg has learned, Russia's main oil port is still evading sanctions and operating at full capacity. It is the Kozmino oil terminal in the Pacific Ocean.
Points of attention
- The use of 'flags of convenience' from countries like Panama, the Cook Islands, Sierra Leone, and Djibouti enabled smooth oil shipments to Chinese ports, mainly Dunding, Huizhou, and Dongjiakou.
- Despite temporary spikes in freight costs post-sanctions, the Kozmino oil terminal continues its operations unaffected, showcasing resilience in the face of geopolitical challenges.
The Kozmino terminal has not yet been sanctioned
As journalists have learned, shippers and traders have found ways to avoid restrictions. To do this, they are actively using fleets under the flags of third countries.
During the first two weeks of February, 16 tankers transported ESPO (East Siberian-Pacific grade) oil.
What is important to understand is that none of them were subject to US sanctions. In addition, it is noted that about 50% of the vessels were working with this type of oil for the first time.
Most of the new tankers sailed under the "flags of convenience" of Panama, the Cook Islands, Sierra Leone and Djibouti. Virtually all shipments were destined for China, particularly the ports of Dunding, Huizhou and Dongjiakou. Most of the vessels were owned by companies based in Shanghai, Hong Kong and the Seychelles.
Journalists point out that Joe Biden's latest sanctions blow against Russia has temporarily raised freight rates from Kozmino to Asia.
According to the latest data, the cost of a three-to-five-day flight to China has risen to $5 million, while before January 10 it was $1.5 million. However, after the jump, prices began to decline.
