Two Million Barrels of Russian Oil Stranded Near China After US Sanctions

Three Russian shadow fleet tankers carrying over 2 million barrels of crude oil remain stranded off eastern China after being hit by US sanctions, Bloomberg reported on January 13.

Among the vessels is the Huihai Pacific, which was scheduled to dock at Dongjiakou in Shandong province on January 15. The ship had loaded approximately 770,000 barrels of crude at the Russian Pacific port of Kozmino earlier this month. However, it abruptly altered its course over the weekend and is now anchored offshore with its cargo intact.

Other vessels, including the Mermar and the Olia, are similarly stranded. The Mermar left Kozmino on January 5 with over 755,000 barrels of crude, initially bound for Yantai port.

Meanwhile, the Olia, which departed Kozmino on January 7 carrying nearly 709,000 barrels of the same oil, is also idling in the Yellow Sea.

These tankers were swept up in the latest wave of US sanctions, marking the most severe measures against Russian oil exports since the invasion of Ukraine in early 2022.

The sanctions targeted several vessels and at least one trader involved in the trade of ESPO crude, a grade favored by China’s independent refiners, commonly known as ‘teapots.’

Earlier, the United Kingdom announced its first-ever sanctions against Russian oil giants Gazprom Neft and Surgutneftegas, joining the United States in targeting key players in Russia’s energy sector.

According to UK officials, these two companies produce over one million barrels of oil daily, generating approximately $23 billion annually—more than the GDP of Jamaica.