ESPO Oil Surges Past $120 per Barrel on Chinese Demand

Russia's ESPO Blend oil has surpassed $120 per barrel for the first time since April, driven by increased demand from Chinese refiners.

The jump in price is attributed to disruptions in Middle Eastern supplies, particularly Saudi Arabian crude, which have threatened to leave Chinese refineries short of feedstock ahead of the winter season.

US lawmakers recently approved legislation allowing President Donald Trump to impose tariffs on Russian oil purchases, potentially limiting Russia's ability to finance its war in Ukraine and impacting oil supplies to India and China.

The premium for ESPO Blend oil to benchmark Brent has reached record highs of $20 to $30 a barrel, with Urals oil prices also reaching $110 per barrel this week.