Trade sources report that China refiner Yanchang purchases 3 million barrels of Murban and CPC crude.

Several sources confirmed that Yanchang Petroleum, a Chinese refiner, has purchased 3 million barrels from the United Arab Emirates (UAE) and Kazakhstan, for arrival in January, after having suspended its Russian oil purchases due to concerns over Western sanctions.

On Tuesday, the company said that it had purchased 2 million barrels each of Abu Dhabi Murban crude and CPC Blend from Swiss traders Mercuria as well as 1 million barrels each of CPC Blend and CPC Blende from Vitol.

Yanchang published a tender for non-Russian crude oil to be delivered between December and February.

The refinery, which is located in Shaanxi, a landlocked province in northern China, and backed up by the provincial government can process 348, 000 barrels of crude oil per day.

It is the largest refiner in inland China, with an import quota that amounts to 3.6 million metric tonnes or 26 million barrels.

Yanchang was a regular purchaser of Russian oil. It usually received one shipment per week, which is typically ESPO blend for export to the Far East or Sokol.

Chinese state-owned firms stopped buying Russian crude oil in October, after Western sanctions against top Russian oil producers. Reporting by Siyi Liu and Florence Tan in Singapore, editing by Subhranshu Sahu

(source: Reuters)