• Northbound shipments of crude oil through the Suez Canal (typically exports from the Gulf to Europe) have traditionally far exceeded southbound shipments (typically shipments from North Africa, Russia and the Caspian to Asia). Libya has in recent years been the key source of southbound shipments. In 2011 southbound crude shipments fell sharply as Libyan exports slowed to a trickle due to the country’s civil war. However volumes sharply rebounded in 2012 and the first half of 2013 as Libya cultivated China in particular as a key market.
• China emerged as the second largest single destination for Libyan crude exports (after Italy) in 2012, taking an average of 132,000 b/d. Total Libyan 2012 crude shipments to Asia-Pacific approached 300,000 b/d (MEES, 1 March). The dominance of Libya in southbound crude shipments is clearly evidenced by the fact that southbound shipments halved in Q3 2013 relative to Q2 as instability in Libya led that country’s crude exports to collapse from early July (see graph). (CONTINUED - 243 WORDS)
