Asian Refiners Shift to US Crude Amid Strait of Hormuz Closure
North Asian refiners are scrambling to secure alternative crude oil supplies as the Strait of Hormuz remains closed due to the ongoing US-Iran stalemate.
At least four Asia-based refineries have bought U.S. crude volumes this week alone, traders told Reuters on Friday.
Cosmo Energy Holdings, Japan's biggest refiner by capacity, purchased 2 million barrels of West Texas Intermediate (WTI) crude from Trafigura for November delivery at a premium of over $10 per barrel above the October WTI price.
Eneos Corp, also in Japan, bought 2 million barrels of WTI from Trafigura at a premium, while GS Caltex of South Korea bought Mars crude from Shell at a premium of $13-14 above the Dubai benchmark for October.
CPC Corp, Taiwan's state-owned energy company, acquired 2 million barrels of WTI via a tender at a premium of around $8 to $9 per barrel to Dated Brent.