Iraq blast disrupts Ceyhan oil supply
An oil pipeline explosion in Iraq has cut off a key supply of crude to the Ceyhan oil terminal in Turkey, potentially affecting cargo liftings from one of the region"s major ports.
The flow of around 500,000 barrels per day of Iraqi crude along the Kirkuk to Ceyhan line was halted by the blast and would not resume for at least three days, Iraqi oil officials told news agencies. The Botas terminal in the Turkish port still holds about 650,000 barrels in storage, enough for one aframax tanker loading.
A Greek broker told that there were no reports of any disruptions at Ceyhan yet and no fixtures had been cancelled because of the blast.
Around 10 aframax tankers load crude from Ceyhan every week, but more than half of this month"s loadings are with Azerbaijan crude from a second terminal in Ceyhan, which is unaffected by the pipeline explosion.
According to RS Platou, in the last three weeks 10 aframaxes were fixed on the spot market to load crude from Ceyhan between April 12 and May 2.