Shell Delivers KEBCO Oil to Poland's Gdansk for Germany's Schwedt Refinery

Schwedt refinery supplies most of Berlin's fuel and its majority stake is under the trusteeship of the German government.

SEATTLE (Oil Monster):Shell delivered seaborne cargo of Kazakh KEBCO crude for its share in Germany's Schwedt refinery via Poland's Baltic port of Gdansk on Dec. 23, two trading sources said and LSEG data showed.

Kazakhstan supplies its KEBCO oil, similar to Urals in quality but of Kazakh origin, through the Russian ports of Novorossiisk and Ust-Luga as well as to Germany with the Druzhba pipeline.

Shell offloaded some 80,000 tonnes of KEBCO oil loaded from Russia's Black Sea port of Novorossiisk on Dec. 23 in Gdansk. The cargo was supplied onboard of Seacalm vessel. The oil volume will be delivered to Schwedt refinery via pipeline connecting Gdansk to the plant, the sources added.

Shell did not reply to a Reuters request for comment.

Schwedt refinery supplies most of Berlin's fuel and its majority stake is under the trusteeship of the German government.

Berlin placed Russia's Rosneft's German assets, including its 54.17% stake in Berlin's Schwedt refinery, under a trusteeship last September in the wake of Russia's invasion of Ukraine.

Shell holds a 37.5% stake in the Schwedt refinery, which it plans to sell to Britain's Prax Group. Italy's Eni ENI.MI owns 8.33% in the refinery.

Kazakhstan began supplying KEBCO oil to the Schwedt refinery via the Druzhba oil pipeline in transit through the Russian Federation, Belarus at the Unecha-Adamova Zastava section and further through Poland.

In January-November 2023, the volume of transportation of Kazakh oil through the Transneft oil trunk pipeline system towards the Adamova Zastava oil delivery point for further delivery to Germany amounted to 843,000 tons.

Courtesy:  www.reuters.com