Indian Oil Corp
(IOC) , the country's top refiner, has loaded its first cargo of Iraq's newly
introduced Basra Medium crude grade, according to ship-tracking data from
Refinitiv Eikon and a source with knowledge of the matter.
IOC loaded the
cargo onto Minerva Kalypso, a Suezmax-sized vessel, which left Iraq's southern
port of Basra on Jan. 4, the data showed.
Ship expected to arrive at Chennai port around Jan. 14
The ship is
expected to arrive at Chennai port in southeastern India for IOC's subsidiary
Chennai Petroleum Corp (CPCL) around Jan. 14.
Iraq's state oil
marketing company (SOMO) launched the new sour crude grade in January by
splitting existing Basra Light production into two grades to provide better
quality stability."From this year IOC will get all three grades - Basra
Light, Basra Medium and Basra Heavy - depending on the availability with the
supplier," the source said, adding that the 1 million barrels of Basra
Medium crude would go to CPCL.
Along with Chennai
Petroleum, IOC controls about a third of the 5 million bpd of refining capacity
been procuring Basra Light and Basra Heavy crude oil from Iraq and Basra Medium
was procured recently for the first time, this is after the introduction of
this grade by SOMO supplier to the market for the first time," the company
said in a statement to Reuters.
As the output raised by 500,000 barrels per day (bpd) in Jan, Iraq
increased exports by adding Basra Medium to exports
Iraq has increased
crude exports by introducing Basra Medium after the Organization of the
Petroleum Exporting Countries and its allies agreed to raise output by 500,000
barrels per day (bpd) in January.
helps fill the gap of a shortage of heavy oil globally due to sanctions on Iran
and Venezuela, declining production in Colombia and Mexico and OPEC+
quotas," analytics firm Kpler said.