Russian oil is still finding its way to buyers around the world. But even those who spend their days tracking its movement across oceans struggle to work out exactly who is ferrying it.
As Western sanctions against Russia have escalated over its invasion of Ukraine, more ships have joined an existing fleet of mysterious tankers, ready to facilitate Russia’s oil exports.
Industry insiders estimate the size of that “shadow” fleet at roughly 600 vessels, or about 10% of the global number of large tankers. And numbers continue to climb.
Who owns and operates many of these ships remains a puzzle. As trading Russian oil became more complex over the past year, many Western shippers withdrew their services. New, obscure players swooped in, with shell companies in Dubai or Hong Kong involved in some cases. Some bought boats from Europeans, while others tapped old, creaking ships that might have otherwise ended up in the scrapyard.
“You’ve gone deeper into the dark arts,” a senior executive at an oil trading firm told CNN, referring to this opaque network.
The under-the-radar fleet has increased in importance as Moscow tries to avoid working with Western shippers, and as customers in China and India supplant those in Europe, now banned from purchasing seaborne Russian oil and refined products such as diesel. Delivery to more distant buyers requires additional boats — and ship owners willing to deal with added complexity and legal risk, especially after Group of Seven countries imposed price caps on Russian oil.
Energy News Beat