Report: Ship fuel suppliers stop serving Russian vessels in Med - News Archive - PRIME Business News Agency - All News Politics Economy Business Wire Financial Wire Oil Gas Chemical Industry Power Industry Metals Mining Pulp Paper Agro Commodities Transport Automobile Construction Real Estate Telecommunications Engineering Hi-Tech Consumer Goods Retail Calendar Our Features Interviews Opinions Press Releases

Report: Ship fuel suppliers stop serving Russian vessels in Med

MOSCOW, Apr 4 (PRIME) -- Marine fuel sellers have stopped serving vessels flying the Russian flag at major European hubs including Spain and Malta in another blow to Moscow's exports, Reuters reported late on April 1 quoting five industry sources with knowledge of the matter.

Losing access to refueling points in the Mediterranean Sea poses major logistical problems for Russian oil tankers going from Baltic ports to Asia and also creates safety concerns over potentially being stuck at sea with flammable cargoes, shipping sources say.

Russia is reeling from a wave of severe economic sanctions on its banks and oligarchs and foreign companies are cutting ties after Moscow's military operation in Ukraine.

Multiple factors have prompted the halt in refueling services, including what sources have described as "self-sanctioning" where companies try to stay ahead of the next wave of measures by refusing to enter into contracts with Russian entities.

Payment problems due to banking restrictions have also added to complications with deals for marine fuel, which is typically priced and paid for in U.S. dollars.

One source said Russian-flagged ships couldn't secure marine fuel in Malta, the British overseas territory of Gibraltar or neighboring Algeciras in Spain Ц all major bunkering, or refueling, zones in the Mediterranean.

"Several tankers had to take a longer journey in order to bunker in other countries after European ports refused to provide fuel," said another source who was familiar with one of the tanker's movements.

A government official in Malta said the country was not allowing any Russian-flagged ships to come to its ports.

A transport ministry spokesperson with Spain's Merchant Marine said it was "possible that certain providers are adopting these measures independently".

A Gibraltar government spokesperson said port authorities would "reject calling requests by all ships either owned or operated by anyone connected to the country, not even for bunkering, in accordance to U.K. rules".

The spokesperson said that as in Britain, foreign ships with Russian cargoes would be not be affected.

'NOT DOING BUSINESS'

Russia's maritime sector is already grappling with the winding down of other services including ship certification by leading foreign providers - vital for accessing ports and securing insurance - shipping companies pulling out and ship engine makers suspending training on their equipment.

Shipping industry sources say given the complexities of the world's seaborne trade it was unclear how Russian companies would be able to operate with multiple services being withdrawn.

Danish marine fuels supplier and ship owner Monjasa said it had suspended "trading and supplies with Russian-flagged vessels, Russian registered companies and companies and individuals with ties or affiliation to Russian ownership" with effect from February 25, a day after Russia's military operation started.

Denmark's Bunker Holding said it had stopped all deliveries into Russian harbors since the start of March, adding that the group and subsidiaries including Dan-Bunkering had also "ceased to enter into new obligations with Russian counterparties".

"We are aware of the challenges this decision to stop trade with Russian counterparties imposes on clients and counterparties in the rest of the world, but with the terrible situation in Ukraine we need to act swiftly and decisively against Russia," Bunker Holding said in a statement.

Gibraltar bunker supplier Peninsula, which is active elsewhere in the Mediterranean and other locations, said in a LinkedIn post it was "not doing business with Russian vessels, ports, companies Ц owned or majority owned - suppliers and financial institutions".

While a ban on Russian vessels from E.U. ports is still under discussion, Russia's oil and products exporters have already faced problems concluding charters for ships and insurance, shipping sources say.

End %%md/jst%%

04.04.2022 08:38
 
 
Share |
To report an error select text and press Ctrl+Enter
 
 
Central Bank Official Rate
1W 1M 1Y
USD
EUR 61.2171 +0.2139 29 jul
USD 60.2031 -0.0167 29 jul
Stock Market Indices
1D 1W 1M 1Y
MICEX
micex 2189.16 -0.32 18:51 28 jul
Stock Quotes in RUR
1D 1W 1M 1Y
GAZP
gazp 196.24 -0.13 18:36 28 jul
lkoh 3847.50 0.00 18:53 28 jul
rosn 348.70 0.00 18:49 28 jul
sber 131.69 -0.61 18:36 28 jul
MICEX Ruble Trading
1D 1W 1M 1Y
USDTD
EURTD 61.1000 +0.5550 14:59 28 jul
USDTD 60.8350 +0.9200 17:44 28 jul