Dubai – Business News Report|| Iraqi state marketer Sumo seeks buyers for two million barrels of Basrah Heavy crude, loading via ship-to-ship transfer off Oman. This move secures alternative export routes amid regional shipping disruptions affecting the Strait of Hormuz.
Strategic Bypass of Hormuz
The tender targets a shipment to be loaded between September 27 and 30. Sumo set Thursday as the deadline for bids, seeking prices linked to benchmark indicators. The delivery mechanism involves transferring cargo near the Omani coast, effectively circumventing the congested waterway that has recently hampered tanker movements across the region.
Logistical Shifts and Regional Trends
This initiative follows similar steps taken by Baghdad since late August to export both Basrah Medium and Heavy grades outside the Strait. State-owned Adnoc and Saudi Aramco have also adopted comparable shuttle transport arrangements. These short-haul trips within the Gulf precede transfers to larger tankers positioned outside the chokepoint, ensuring continuous flow despite navigational constraints.
Minister Highlights Production Resilience
Oil Minister Basim al-Mohannadi stated on Tuesday that exports exceeded 70 million barrels in August. Current daily shipments surpass three million barrels. He noted new land-based transfers from southern fields to Kirkuk storage facilities. This strategy aims to boost northern pipeline flows toward Turkey’s Ceyhan port, potentially exceeding 600,000 barrels daily through enhanced capacity.
Export Data Shows Recent Volatility
Spokesman Salim al-Rikabi reported initial September exports at three million barrels daily. Figures gradually declined to approximately 2.4 million barrels due to geopolitical tensions. Nevertheless, current levels remain above August averages of 2.354 million barrels. Improved navigation conditions and reduced shipping disturbances in recent weeks support this stabilization trend.
This story was produced in the newsroom from the disclosed sources named above.
