Monitoring Desk
ISLAMABAD/LONDON: Russian oil is still finding its way to buyers around the globe, including several European countries, but those who spend their days tracking its movement across oceans struggle to figure out exactly who is ferrying it.
According to CNN, as western sanctions against Russia escalated over its invasion of Ukraine, more ships joined the existing fleet of strange tankers, ready to facilitate Russia’s oil exports.
Industry insiders estimate the size of the “shadow” fleet at roughly 600 vessels and about 10 per cent of the world’s large tankers. And the number of tankers continues to climb. Who owns and operates several of these ships remains a mystery. As Russian trading oil became more complex over the previous year, several Western shippers withdrew their services. New, obscure players swooped in, with shell industries in Dubai and Hong Kong involved in a few cases. Few bought boats from Europeans, and others tapped old, creaking ships that might have otherwise ended up in the scrapyard.
“You have gone deeper into the dark arts,” an executive at an oil trading firm told CNN, referring to this opaque network.
Russian seaborne oil
The under-the-radar fleet has risen significantly as Moscow tries to avoid working with Western shippers. As customers in India and China supplant those in Europe, now restrictions from purchasing Russian seaborne oil and refined products such as diesel.
Delivery to more distant buyers requires additional ship and boat owners willing to deal with added complexity and risk, especially after the Group of 7 nations imposed price caps on Russian oil.
