Business news

15 May 2020

Belneftekhim: Volume of Rosneft oil supplies to Belarus will be specified monthly

An archive photo

MINSK, 15 May (BelTA) - Contracts concluded with the Russian oil company Rosneft set out an indicative supply plan of up to 9 million tonnes of oil. Specific volumes will be determined monthly, Aleksandr Tishchenko, the spokesman for the Belarusian state petrochemical concern Belneftekhim, told BelTA.

“Such contracts are signed annually with all suppliers. They formally determine an indicative supply plan, taking into account a specific supplier. In fact, they formalize the possibilities of Belarusian refineries in terms of orders and Russian companies in terms of supplies,” Aleksandr Tishchenko said.

Supply volumes and prices are formalized by additional agreements on a monthly basis, he explained.

According to the spokesman, the indicative oil supply plan in 2020 provides for the supply of 24 million tonnes. In pursuance of this agreement, contracts are signed with other companies, including Rosneft.

The Russian company Rosneft informed it has signed contracts to deliver 9 million tonnes of oil to Naftan, BNK and Mozyr Refinery in the period between April and December 2020.

Work on the contracts with Rosneft resumed in April after a hiatus in the supplies from major oil companies from 1 January. At that time, Belarus considered it impractical to pay premiums to the Russian oil companies in the previous volumes. In April supplies from big oil companies resumed. According to Belarus’ Prime Minister Sergei Rumas, part of the premiums to the Russian companies will be compensated by the government of the Russian Federation.

According to Belneftekhim, in May Belarus plans to buy 1.13 million tonnes of Russian oil. Belarus continues to buy from alternative suppliers as well. A tanker carrying 87,000 tonnes of oil from the Saudi Arabian national oil company Saudi Aramco for Naftan reached the Port of Klaipeda in May.