MOSCOW (MRC) -- US Secretary of State Mike Pompeo said the US is ready to supply Belarus with all of its oil needs at competitive prices, adding to a growing list of potential new energy suppliers after years of dealing almost exclusively with Russia, reported S&P Global.
"The United States wants to help Belarus build its own sovereign country. Our energy producers stand ready to deliver 100 percent of the oil you need at competitive prices," Pompeo said Saturday during his visit to Minsk, the country's capital, as quoted by the US Department of State.
Pompeo is the first secretary of state to visit Belarus in 26 years, and during his stay he held talks with both foreign minister Vladimir Makei and President Alexander Lukashenko.
"All you have to do is call us," Pompeo said.
Pompeo's offer comes as Minsk continues to search for alternative crude supplies. Lukashenko named the US, along with Saudi Arabia and the UAE, as potential suppliers of oil to diversify sourcing of crude for Belarusian refineries, which traditionally sourced wholly from Russia. That reliance came into question recently as Russia briefly suspended supplies in early January amid crude supply talks for 2020. Russia has since restored supplies to Belarus.
Belarus is also in talks with Azerbaijan, Kazakhstan, Ukraine and Baltic states with the aim of limiting Russian oil deliveries to just 30%-40% of total imports, according to Lukashenko.
Last week, a delegation from Belarusian state-owned Belneftekhim was to visit Kazakhstan to hold talks on crude supplies.
Last week, as MRC wrote before, the country's Naftan refinery received 80,000 mt of Norwegian oil to test out new routes and compare losses with the current price of Russian oil.
Lukashenko said in mid-December that Russia had agreed in principle to supply 20-22 Bcm of gas and 24 million-25 million mt of oil in 2020 to Belarus.
According to ICIS-MRC Price report, lower capacity utilisation at Polymir (part of Naftan) did not affect the balance of the local low density polyethylene (LDPE) market, there was no shortage of polyethylene (PE). Local companies partially compensated for the absence of domestic PE by higher shipments from Russia.
Polymir (part of Naftan) is Belarus' largest petrochemical company, producing a wide range of chemical products, such as LDPE, acrylic fibers, products of organic synthesis, hydrocarbon fractions, etc. Polymir was founded in 1968. The producer uses technologies of the largest foreign companies from Great Britain, Japan, Germany, Italy (Courtaulds, Asahi Chemical Co. Ltd, Kanematsu Gosho, SNIA BPD, etc.), as well as the developments of scientific research institutes and design institutes of the CIS countries. The plant"s annual production capacity is 130,000 tonnes.
MRC