Shandong Refiners' Dwindling Stockpiles May Fuel Iranian Oil Buying Spree

China's independent refiners in Shandong province are facing dwindling oil stockpiles, which may lead to increased purchases of Iranian crude. The region's inventories dropped to 360 million barrels in July, a low point not seen in eight months.

Data compiled by Energy Aspects shows that the decline in stockpiles is affecting both private and state-run processors. This could provide a much-needed boost for Iran's oil sales, which have been slow lately.