Russia Schedules Second Oil Shipment to Brazil for September

13 Sep, 2023

Russia Schedules Second Oil Shipment to Brazil for September

Russia has embarked on its second oil shipment destined for Brazil this September, marking a significant development in their energy trade relationship. The news has been confirmed by two traders and data provided by the London Stock Exchange Group (LSEG).

The cargo consists of an impressive 100,000 tonnes of Varandey oil, a product sourced by Lukoil. This oil was loaded onto the tanker Apus at the Arctic port of Murmansk on September 10. According to LSEG data, the vessel is anticipated to arrive in Brazil's Pernambuco area by the close of this month.

Notably, Lukoil has chosen not to comment on this latest development. However, it's important to highlight that Lukoil made a similar move in August when they loaded 80,000 metric tons of Varandey blend for delivery to Brazil. This marked a significant milestone as the first recorded instance of Russian oil supply to the Latin American nation.

The oil is expected to be offloaded from the Stratos Aurora vessel at the terminal of Madre de Deus port in Brazil. It's worth noting that this terminal is operated by Transpetro, a subsidiary of Petrobras, one of Brazil's largest energy companies, as per information obtained from sources and shipping data.

This series of events underscores the increasing importance of Brazil as a buyer of Russian fuel. Despite being an oil-producing nation with its own refineries, Brazil often faces challenges in meeting its domestic demand for oil. As a result, it frequently imports crude oil from regions such as West Africa and Saudi Arabia to supplement its refinery feedstock.

Overall, this development highlights the strengthening energy trade relationship between Russia and Brazil, further solidifying their economic ties within the energy sector. It also emphasizes the role of global energy markets and the significance of international oil trade in meeting the energy needs of countries around the world.