An interesting piece from Bloomberg overnight (gated)., The main points:
- Demand is soaring for oil storage tanks in Singapore, in a sign that a flood of Russian fuel is being blended and re-exported globally.
Tank space in the city state is being snapped up due to a rise in interest and profits from mixing cheap fuel supplies from Russia with shipments from other sources, according to an executive from a tank operator and a consultant who advises traders on the matter. That process can help to obscure the cargoes’ origins, they said.
Singapore hasn’t banned the import of Russian oil or petroleum products, although financial institutions based in the island state are prohibited from financing or dealing with Russian goods and companies. Singapore government agencies referred to past statements on the ban and price cap policy, without additional comments.
As noted, the piece is gated but if you can access it the link is above for more.
Oil has found a bid, China reopening cited widely. If supply is increasing like this report implies it'll act to keep a lid on the price at the margin.
