Aramco has sold about 4 million barrels of Arab medium and heavy crude to
Chinese refiners, with loading planned in September at a location outside the
Strait of Hormuz, traders said. An earlier high-sulfur cargo to China is slated
to load off Oman’s coast, potentially as soon as this month. After the Strait of
Hormuz was effectively closed, Aramco has still moved large volumes from Yanbu
via the Red Sea, but the Yanbu east–west pipeline currently carries only lighter
grades, so heavier crudes are being routed through the Strait to enable exports.
Vortexa analyst Emma Li said: "As long as transshipment can be completed outside
the highest-risk areas, Chinese refiners are increasingly willing to take Middle
East crude," and that the trend could restore traditional Middle East-to-China
flows without Chinese vessels transiting dangerous waters such as the Strait of
Hormuz.
