SOCAR becomes operator of Rosneft fuel supplies to Ukraine


SOCAR Trading, a member of the State Oil Company of Azerbaijan (SOCAR), will participate as an operator in the export of oil products to Ukraine by Russia’s state oil company Rosneft.

Report informs, citing Enkorr, that an agreement has been signed in this regard.

SOCAR Trading’s Swiss office will regulate fuel sales and relations with Ukraine. However, it is not ruled out that the company’s Ukrainian office will be involved in the distribution and sale of volumes.

This week, SOCAR Trading executives met with Proton Energy Group S.A., which had been distributing Rosneft’s fuel in Ukraine until April this year, have begun talks with representatives of the company. According to sources, the new operator, which does not rule out the start of supplies this month, has a quota of more than 100,000 tons of diesel fuel and 12,000 tons of liquefied natural gas. Still, market participants think it is more reasonable to start supply in June.

According to available information, SOCAR has announced that it will supply diesel fuel at a price of more than $ 30 per ton. However, no specific figures have been announced for liquefied natural gas due to a lack of interest in emergency supplies because of oversupply in the market.