Diesel from Russia changes destination from Chile to Brazil – 05/18/2023 – Market

Two diesel cargoes sailing from Russia to South America have switched their destination from Chile to Brazil, according to vessel monitoring data from Refinitiv Eikon.

Russia has been exporting fuel to many countries that previously imported little or none of their oil since the EU (European Union) banned Russian imports in February under sanctions to punish the country for invading Ukraine.

In Latin America, where fuel imports have recovered to pre-pandemic levels, Brazil has become the top importer of Russian diesel cargoes, with Cuba also increasing purchases of Russian oil and fuel, according to Eikon data.

The oil tanker Oscar, flying the Liberian flag, departed from the terminal in Primorsk, Russia, earlier this month, transporting diesel to South America. She flagged Chile as her destination, but then switched to the Brazilian port of Suape, where she is now waiting to unload.

The Saint Kitts and Nevis-flagged Zeynep tanker also loaded into Primorsk and flagged several countries as intended destinations, including Chile, before arriving off the coast of Brazil this week.

A third cargo of diesel that left Primorsk this month carrying diesel, the Zoilo, flying the Maltese flag, is also crossing the Atlantic Ocean towards Brazil.

Brazil has no restrictions on the import of Russian diesel. Some companies, however, avoid buying Russian fuel because of internal compliance rules.

It was unclear which companies chartered the ships to Brazil.

Reuters previously reported that the two cargoes would have marked the start of Russian diesel exports to Chile. Chilean companies ENAP, Copec and Enex said they did not buy the cargo.