Russian light oil shows up in California

Oversupplied markets, slowing demand in Asia bring some orphaned cargo of prized crude to the US West Coast

San Francisco

ONE of Russia's prized oils, facing increased competition in Asia, is travelling to a rather unlikely destination: the US West Coast.

As the US threatens President Vladimir Putin with further economic sanctions over the conflict in Ukraine, light Sokol oil from Russia's Far East is showing up in California for the first time in six years. Tankers have been carrying the crude to western states from Korea since May as Asia cherry-picks supplies from a growing pool of sources, including West Africa and Latin America, shipping data compiled by Bloomberg show.

Sokol's emergence underscores how oversupplied markets have become with light crude as the US produces record volumes from shale...

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