Supertanker reaches China port to discharge Russian oil

Hennesea could not be immediately reached for comment. The G7-led price cap on Russian crude oil, imposed in December 2022, aims to reduce Russia's revenues available for its war in Ukraine by allowing Western-supplied insurance and other services only on cargoes priced below $60 a barrel.

Supertanker Nellis arrived at the Chinese port of Dongjiakou in eastern Shandong province on Thursday to discharge its cargo, further clearing a backlog of Russian Sokol crude stored on ships, LSEG shipping data showed. It was the third U.S.-sanctioned oil tanker to dock at Chinese ports this month, during temporary waivers from U.S. measures related to the Ukraine war.

Officials at Qingdao port, which manages the Dongjiakou terminal, declined to comment when contacted by Reuters. The U.S. Treasury's Office of Foreign Asset Control (OFAC) on Jan. 18 imposed sanctions on United Arab Emirates-based Hennesea Shipping Co Ltd for violating a $60-per-barrel price cap on Russian crude oil exports.

OFAC designated several oil tankers including Nellis as property in which Hennesea Shipping has an interest. But it also issued general licences allowing the offloading of crude oil, or other cargoes, from Hennesea's vessels until April 17. Hennesea could not be immediately reached for comment.

The G7-led price cap on Russian crude oil, imposed in December 2022, aims to reduce Russia's revenues available for its war in Ukraine by allowing Western-supplied insurance and other services only on cargoes priced below $60 a barrel. Russian President Vladimir Putin calls the sanctions an unjustified vendetta by an aggressive West.

Tanker Nellis has been storing about 1.4 million barrels of Sokol crude transferred from other Russian tankers between late November to early December, Kpler data showed. China has become the top lifter of light sweet Sokol crude after shipments to India fell following payment and shipping issues due to sanctions.

Earlier this month, U.S.-sanctioned tankers Liteyny Prospect and Krymsk also called at Chinese ports to discharge Sokol crude within a 45-day waiver period. Sokol oil is a low-sulphur, light grade exported from De Kastri terminal of Russia's Sakhalin island by Sakhalin-1 LLC, controlled by oil giant Rosneft.

Beijing has said that it opposes unilateral sanctions and China's normal trade deserves respect and protection.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)