Chennai, July 13 (UNI) With the embargo on imports of Russian oil by the European Union (EU) to kick in by the year-end, the region has to look at other sources, mainly China, said UBS in a report citing an oil industry expert.
Global investment firm UBS recently hosted a call with Jonathan Leitch, Director of EMEARC (Europe, Middle East, Africa, Russia, and Caspian) Consulting at Turner Mason & Company.
The call was to discuss the short and longer-term outlook of the European refining market and focused on recent disruptions on the supply side, the impact of the upcoming capacity increase on global oil products’ balances, and the expected timing of margins’ normalization, UBS said.
According to Leitch, the loss of Russian imports to the EU could exceed 700kb/d, and other sources are needed to fill the shortfall.
As per the UBS report, Leitch is of the view that the direct impact of sanctions on the EU will be somewhat limited because of the blending and redirecting of Russian diesel and fuel oil exports
