Chinese private refiners buy 2mn barrels of Iranian oil

EghtesadOnline: Chinese private refiners have bought some two million barrels of Iranian oil, according to a senior official with the National Iranian Oil Company (NIOC).

News ID: ۷۶۸۶۹۵

03 August 2016

Mohsen Qamsari, the director of NIOC international department, said that the contract is the biggest and most credible sales contract with the Chinese private refiners, according to IRNA.

Importing more than 600,000 barrels per day of Iranian crude oil, China is the main buyer of Iranian crude. The country has recently allowed its private refiners to import crude supplies.

This permission provides Iran with the opportunity to raise its oil exports to China.

Qamsari said that the Chinese private refiners are weak financially and act at a limited level.

'Iran has sold a two-million-barrel crude to the refiners directly so far. But as trading with the refiners is difficult, we are looking for middleperson for selling oil to Chinese private refiners.'

Test selling oil to the private refiners through middlepersons has already begun, the official said.

On selling oil through Trafigura Commodity Company, Qamsari said that Trafigura has a small long-term contract with Iran and for sending cargos to certain destinations, it requires coordination and approval from Iran.

Trafigura Beheer BV is a Dutch multinational commodity trading company founded in 1993 that trades in base metals and energy, including oil. It is the world's third largest private oil and metals trader after Vitol and Glencore.