China’s Sinopec Slashes Iran Oil Imports by Half

Sinopec's imports of crude oil from Iran will drop by around half due to a disagreement over payment terms, Global Times reported, citing an insider. Daily imports will fall from 550,000 barrels to around 285,000, according to a senior petroleum dealer who is familiar with the negotiations between Chinese purchasers and the National Iranian Oil Company (NIOC). The source said Chinese State-owned company Zhuhai Zhenrong, which purchases crude oil from Iran for Sinopec refineries, has already slashed its daily imports from Iran, on Sinopec's instructions. The disagreement is over the credit period, with Sinopec asking for 90 days, but Iran 60 days, according to the newspaper.

(pennenergy.com, Edited by Topco)