The Philippine Star: Shell diversifies crude sources with first order from Russia: “Shell, in its report to Energy Secretary Vincent S. Perez, said some 600,000 barrels of crude oil from Sakhalin, Russia were delivered to its refinery... this month.”: “Russia is the world’s second largest oil exporter, behind only Saudi Arabia.” (ShellNews.net) 28 Dec 04
By Donnabelle L. Gatdula
12/28/2004
Major oil refiner Pilipinas Shell Petroleum Corp. recently sourced crude oil from Russia, boosting the country’s bid to diversify sources of crude oil products, the Department of Energy (DOE) reported over the weekend.
Shell, in its report to Energy Secretary Vincent S. Perez, said some 600,000 barrels of crude oil from Sakhalin, Russia were delivered to its refinery in Tabangao, Batangas this month.
"We are very pleased that there is a continuing supply of crude oil coming from Russia," Perez said.
Perez noted that the Philippines started sourcing crude requirements from Russia only last year following a series of oil diplomacy meetings in 2002.
Crude oil from the Russian Far East takes a shorter shipping time than delivery of crude oil from the Middle East.
In addition, the shipping route does not pass through any geographic chokepoints such as the Straits of Hormuz and Malacca.
"The strong partnership we have built in the past is now bearing fruit. The DOE will continue to search for other non-traditional petroleum sources to ensure sufficient supply in the country," Perez said.
The first shipment of Russian crude oil, some 570 thousand barrels of Urals crude oil from Novorissyck, arrived at the then Caltex refinery in San Pascual, Batangas in May 2003.
Another 680,000 barrels of Vityaz crude oil from Sakhalin, Russia were also delivered at the Shell refinery in August last year.
For the first half of 2002, Russian crude oil exports already soared by 24 percent against the same period last year. In the last seven years, Russia’s net oil exports have been increasing. In 2001, oil exports rose to 4.91 million barrels per day.
Russia is the world’s second largest oil exporter, behind only Saudi Arabia.
Russian oil exports to Asia are set to increase with the development of oil fields in Eastern Siberia, Sea of Okhotsk and in Sakhalin Island.
The Russian oil industry has been on an expansion mode. Reports issued by the Russian government noted that oil production is forecast to reach 450 million to 520 million tons per year by 2010.
http://www.philstar.com/philstar/News200412280704.htm