Russia Ramps Up Oil Exports Via Arctic Route
Russia has begun shipping crude oil via its Arctic sea route this year at a faster pace than a year ago, with seven cargoes carrying some 6 million barrels of crude already heading to Asia, according to three trade sources and LSEG shipping data.
The Northern Sea Route, which links Russia's western ports with Asian markets through Arctic waters, is typically open from July 1 until October 1 each year.
Russia is speeding up usage of the route as it enables its cargoes to reach China and other parts of Asia without transiting waters where tankers face inspections, detentions or other restrictions by European authorities linked to Ukraine-related sanctions on Russia.
The volume, equivalent to about 850,000 metric tons of oil, already represents nearly half of the roughly 13 million barrels shipped via the Arctic route during the whole of last year's navigation season, according to data from Russia's state nuclear corporation Rosatom, which oversees the NSR.
Crude shipments through the route declined 4% year-on-year in 2025.
Rosatom declined to comment.
ARCTIC ROUTE CUTS JOURNEY TIME TO ASIA
Traders said China, the main destination for Russian crude shipped via the route, could further increase purchases if disruptions to Middle Eastern supplies linked to the Iran conflict persist.
The NSR typically reduces voyage times to China by about two weeks compared with the traditional route via the Suez Canal.
"This year ice conditions are relatively mild, facilitating navigation, while logistical issues in the Strait of Hormuz and the Black Sea are supporting Arctic shipments of Russian crude to China," one trader involved in NSR supplies said.
The other trader also said that he expects this year's oil supplies via the NSR to be higher than in 2025 due to economic and geopolitical factors.
China is typically the biggest beneficiary of the NSR during the navigation season because its ports are closer to Russia's Far Eastern export terminals than those of other major Asian buyers, traders said.
The seven tankers currently sailing to Asia through the NSR include six Aframax vessels, each capable of carrying about 750,000 barrels of crude, and one Suezmax tanker with capacity of around 1 million barrels.
Three of the tankers are flying the Russian flag, while others carry flags of Oman and Cameroon, according to LSEG.
The expected launch of the first phase of Russia's giant Vostok Oil project operated by Rosneft in September may also raise oil supplies via the NSR, traders said. It is not clear how much oil from the project is set to be exported this year.
(Reuters - Reporting by Reuters; Editing by Jan Harvey)
