A downturn in the fortunes of China’s independent, or teapot, refiners has resulted in four VLCCs, chartered by BP, being left stranded off the Shandong coast for several weeks. Analysts said it was rare for shipments to be orphaned for such a length of time, and the delay could cost BP an estimated $600. The vessels are said to have been loaded in Africa with eight million barrels of crude, worth as much as $3.6mm. Teapot refiners are said to be hurting from trade tension with the US, rising crude prices, an oversupplied domestic fuel market and increased government tax scrutiny.
A downturn in the fortunes of China’s independent, or teapot, refiners has resulted in four VLCCs, chartered by BP, being left stranded off the Shandong coast for several weeks. Analysts said it was rare for shipments to be orphaned for such a length of time, and the delay could cost BP as much as $3.6m. The vessels are said to have been loaded in Africa with eight million barrels of crude, worth an estimated $600m. Teapot refiners are said to be hurting from trade tension with the US, rising crude prices, an oversupplied domestic fuel market and increased government tax scrutiny.