Asian refiners’ mixed response to Ukraine conflict

Chinese refiners are yet to buy more Russian crude, while other nations in Asia may help fill Europe’s shortfall in diesel supply, according to energy intelligence firm Vortexa

There is further potential upside for crude prices, says David Wench, chief economist at energy intelligence firm Vortexa, citing a global pattern of low stocks, stagnant supply and solid demand. But the risk of recession—and with it, weaker demand—remains. Seaborne crude liftings have slowed to around 47mn bl/d, down from 50mn bl/d pre-Covid, according to Wench. And it is hard to see new barrels entering the market in the next few months, he says, adding that the UAE and Saudi Arabia could raise output in the short term but that scenario is unlikely. In the medium term, the USA, Iran and possibly Canada could also increase supply. Vortexa currently sees more than 1mn bl of Russian-loading c