Johan Sverdrup crude exports fall in February

Crude exports from the North Sea's giant Johan Sverdrup field fell by around 13pc on the month to 454,000 b/d in February, according to data from Argus and Vortexa.

The decline was driven by lower buying from customers in Asia-Pacific and northwest Europe.

Asia-Pacific refiners cut their purchases of Johan Sverdrup by 13pc on the month to 375,000 b/d, the lowest since October last year. Around 321,000 b/d of the grade was shipped to China last month, down by 12pc from January. Chinese refiners slowed purchases of North Sea crude last month as they contended with high stocks accumulated in the fourth quarter of last year. Johan Sverdrup shipments to South Korea fell by 17pc on the month to 54,000 b/d in February.

Northwest European buyers cut purchases by around 70pc to only 21,000 b/d last month, all of which went to the Netherlands. Sweden, which has been a regular buyer of Johan Sverdrup, did not take any of the grade in February.

Shipments of Johan Sverdrup into the Mediterranean resumed after a month-long break at 36,000 b/d, all of which went to Turkey. The return of Libyan crude production may have played a role in in curbing appetite for Johan Sverdrup in the Mediterranean in recent months. But this changed in February, when concerns grew over the stability of supply from Libya because of industrial action at key infrastructure, and this may have provided a gap for Johan Sverdrup to fill.

North American buyers continued to take Johan Sverdrup at a steady 21,000 b/d in February, little changed from 19,000 b/d in January. All the February transatlantic exports went to Canada.

By Riyan Zerrouki