Asian Refiners Turn to Argentina as Iran War Disrupts Oil Supply
· Business · LiveMint, Bloomberg
Refiners in Japan, South Korea and China have stepped up purchases of Argentina's Medanito crude as the Iran war disrupts Middle East supply and drives competition for alternative barrels. Japan's Eneos Holdings and Taiyo Oil bought the grade for the first time, while South Korea's Hyundai Oilbank, PetroChina, and Shaanxi Yanchang Petroleum were also among buyers, with cargo loading dates stretching from August to October. Argentina's exports to Asia averaged a record 35,000 barrels a day this year through July, more than five times the 2025 average, even as total exports of 215,000 barrels a day mostly flow to the US and Chile. Medanito sells at a roughly $1-$2 per barrel discount to WTI and avoids the Panama and Suez canals, making it attractive as Middle East supplies tighten.
Why it matters
The shift signals how Asian buyers are scrambling to secure non-Middle East crude as the Iran conflict reshapes global energy flows, with implications for crude pricing and supply security across the region. Indian refiners, who also depend heavily on Middle East barrels, face the same supply pressure even though they are not named in this round of purchases.
Read the original report — LiveMint
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