Russian oil hold-up threatens Belarus price deal

• Two of the sources said that Safmar received a right to export up to 300,000 tonnes of oil to Belarus over April-June.
• Rosneft, Lukoil, Surgutneftegaz, Tatneft, Gazprom Neft and the Russian energy ministry, along with oil pipeline monopoly Transneft.

MOSCOW: Resumption of Russian oil supplies to Belarus have been held up by disagreements over volumes and suppliers, four industry sources close to the talks told Reuters, threatening a fragile price deal after months-long talks.

Major Russian oil companies suspended supplies to Belarus from Jan. 1 after failing to agree supply terms with Belneftekhim, the Belarus state oil company, with Moscow wanting to end years of discounted oil supplies to Minsk.

But as Russia found itself needing to park its oil somewhere after its landmark supply pact with the Organization of the Petroleum Exporting Countries (OPEC) fell apart this month, Moscow gave Minsk the discount it wanted.

Supplies were due to resume from April 1 but agreements with Rosneft, Lukoil, Gazpromneft, Surgutneftegaz and Tatneft have yet to be signed, the sources said.

Safmar was continuing to provide supplies to Belarus in sufficient volumes to maintain refinery runs at minimal levels, but other Russian companies want it to be excluded from the route as they plan to ramp-up exports, the sources said.

However, Belarus said it wants Safmar, an umbrella company for the assets of Russian businessman Mikhail Gutseriyev and an ally of Belarus president Alexander Lukashenko, to remain its key oil supplier, the sources said.

Two of the sources said that Safmar received a right to export up to 300,000 tonnes of oil to Belarus over April-June.

Rosneft, Lukoil, Surgutneftegaz, Tatneft, Gazprom Neft and the Russian energy ministry, along with oil pipeline monopoly Transneft, did not reply immediately to Reuters requests for comment.

Belneftekhim and Safmar declined to comment.