Russia and its neighbors may boost crude oil shipments through an Israeli pipeline, helping them compete against Persian Gulf nations for sales in Asia
Published:
3 November 2003 y., Monday
The 254-kilometer Eilat-Ashkelon pipeline, which has flowed from the Red Sea to the Mediterranean for more than 30 years, will reverse direction for a second time in November. A tanker is set to leave the Red Sea port of Eilat, bound for Asia, with oil sent from Ashkelon on the Mediterranean.
Russia wants to sell more oil in Asia, where demand is growing faster than in Europe, as China and Japan seek to reduce their dependence on Middle East exports. The pipeline gives oil companies an alternative to the longer route around Africa and lets them avoid restrictions in Egypt's Suez Canal.
How much crude will be exported across Israel will depend on the so-called arbitrage window, when Russian oil prices are low enough to attract Asian buyers. The pipeline may make Russian crude oil, which costs about four times as much to produce as Middle Eastern grades, more competitive by reducing transport distances and costs.
Very large crude carriers, or VLCCs, which can carry about 2 million barrels of oil, take 10 days to travel from the Red Sea to Asia compared with 30 to 35 days from the Mediterranean.
A tanker is scheduled to unload about 2 million barrels of Russian Urals and Kazakh Tengiz crude at Ashkelon in the second half of November, shipbrokers said.
Šaltinis:
Bloomberg
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
European Commission Vice-President Siim Kallas, responsible for transport, today presented to the College a preliminary assessment of the economic consequences for the air transport industry of the volcanic ash crisis.
more »
Boosting economic recovery, investing in Europe's youth and in tomorrow's infrastructures are the priorities of the 2011 draft budget adopted by the Commission on 27 April 2010.
more »
European Competition Commissioner Joaquín Almunia welcomes proposed commitments by Visa Europe to significantly cut its multilateral interchange fees (MIFs) for debit card payments.
more »
Because of the Icelandic volcano, flower growers in Colombia couldn't get their stems to markets in Europe.
more »
The Second Vice President of the Spanish government and Minister of Economy and Finance, Elena Salgado, on Sunday played down the importance of apparent fissures within the EU concerning the Greek financial crisis, expressing her confidence that all countries would support the aid package for this country, which will be accompanied by a tough budget-tightening plan.
more »
Commission launches an information campaign on the CE conformity mark - designed to ease the free movement of goods around Europe and protect consumers.
more »
If Europe's airports ever open again the introduction of new security measures like body scanners will be expensive.
more »
After Eurozone Finance Ministers agreed measures to address Greece’s financial woes last Sunday, MEPs quizzed leading economic figures, including the chairman of Goldman Sachs - former financial advisors to the Greek government - on how to strengthen EU economic governance and improve reporting of national statistics.
more »
The European Tourism Stakeholders Conference, being held in Madrid today and tomorrow, will explore ways and means to strengthen the visibility of tourism at a European level and to verify how the actions to promote a competitive EU tourism industry.
more »
The European Bank for Reconstruction and Development (EBRD), World Bank Group member IFC, and The Netherlands Development Finance Company (FMO) have joined up with the Asia Debt Management Hong Kong (ADM Capital) to establish a regional fund to invest in midsize companies facing financing difficulties as a result of the financial crisis.
more »