SINGAPORE, July 5 (Reuters) - Prices of Russia's ESPO Blend crude oil shipped to China have surged to a seven-month high as buyers rush to secure cargoes amid higher Russian demand and after Moscow pledged to cut exports.
Russia on Monday vowed to slash oil output and exports by 500,000 barrels per day (bpd) in August, with Moscow seeking to nudge up global oil prices in concert with Saudi Arabia.
Even before that pledge, Russia's oil exports were expected to fall in July as local refineries ramp up operations following maintenance.
They are now out for shopping and Russian oil remains relatively cheap," said one trader.
Strong bids from Indian refiners are also helping push up prices for China, three other traders said.
Persons:
Muyu Xu, Chen Aizhu, Tony Munroe, Edwina Gibbs
Organizations:
Moscow, ICE Brent, Big, Jiangsu Eastern Shenghong, ESPO, Thomson
Locations:
SINGAPORE, China, Kozmino, Moscow, Saudi Arabia, Jiangsu, India