ESPO Crude Price Surges Past $120 per Barrel Amid Middle East Disruptions

The price of ESPO crude oil supplied to China has exceeded $120 per barrel in Russia. This is according to market data and trading sources cited by The Moscow Times, which also references Reuters. The premium for ESPO over the ICE Brent benchmark has reached a record high of $20-$30 per barrel.

The surge in prices can be attributed to Chinese state-owned refining companies booking ESPO cargoes in advance for delivery in November and December. This is unusual as ESPO is typically purchased one or two months before delivery due to its short shipping distance to China.

The increase in premiums has been linked to disruptions in oil supplies from the Middle East, including a recent attack on an important pipeline in Saudi Arabia. In 2026, a similar increase in the price of Russian Urals oil occurred after US and Israeli attacks on Iran led to a closure of the Strait of Hormuz.

According to Argus data cited by the Kommersant newspaper, Urals delivered to India and China cost $110-$120 per barrel last week. Russia's weekly revenue from seaborne oil exports reached $2.42 billion, the highest level since late May, according to Bloomberg.