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Russia's Transneft halts oil intake from Rosneft subsidiary

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Reuters MOSCOW

MOSCOW (Reuters) - Russian oil pipeline monopoly Transneft said on Wednesday it had stopped taking oil from a subsidiary of Rosneft due to its low quality.

The subsidiary - Taas-Yuriakh, located in east Siberia, supplies oil to the East Siberia Pacific Ocean pipeline as part of the ESPO blend.

Taas-Yuriakh is due to load 430,000 tonnes of ESPO from the Pacific port of Kozmino in April - June, according to the loading schedule.

Transneft did not give any more details on the reasons for its decision to stop taking the oil or for how long this would last.

Rosneft did not immediately respond to a request for comment.

 

Rosneft controls 50.1 percent of its Taas-Yuriakh subsidiary, while a consortium of Oil India Limited, Indian Oil Corporation Limited and Bharat PetroResources Limited has 29.9 percent and BP 20 percent.

Trade sources in Europe have said the quality of some Russian oil, notably its flagship Urals blend which flows to Europe, has deteriorated recently as Moscow has increased oil supplies to China.

(Reporting by Vladimir Soldatkin and Olga Yagova. Editing by Jane Merriman)

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First Published: Apr 04 2018 | 3:56 PM IST

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