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Saudi Aramco's subsidiary, Luberef, has recently initiated bitumen tanker export operations from its Red Sea terminal in Yanbu. This marks a significant development as a 5,500-tonne cargo is currently being loaded onto the Ianthe bitumen tanker, which has a deadweight tonnage of 7,226. The Richmond Group and Associates, based in the UAE, are overseeing this operation. Speculations suggest the tanker's destination is Durban, South Africa. Notably, this is set to be the first seaborne bitumen tanker dispatch from the Yanbu terminal in many years.

Although Luberef had intentions of commencing ship-to-truck bitumen exports from the Yasref refinery, which has a capacity of 400,000 barrels per day, since late June, various logistical challenges postponed this development. These challenges primarily revolved around establishing a direct link between the Yanbu jetty and the refinery. Luberef's export plans include the shipment of one 5,000-6,000 tonne cargo on a monthly basis. These shipments are expected to be sold to international trading and supply companies based on a free on board (FOB) Yanbu agreement.

The inauguration of export operations from Yanbu provides alternative supply options for bitumen importers, notably those in India and Africa. These alternative sources are also potentially valuable for the Mediterranean region. Historically, India has largely depended on Iranian and other Middle Eastern Gulf supplies for its bitumen needs.

Meanwhile, South Africa's bitumen import scene has evolved considerably in recent times. The majority of its bitumen-producing refineries have either ceased operations or have halted the production of this specific oil product used for road paving. Preliminary data from Vortexa reveals that South Africa has imported a minimum of 208,000 tonnes of bitumen in bulk tanker cargo this year alone, with Durban contributing to a significant 69% of this total.

This import quantity marks a stark rise from last year's total of 139,000 tonnes. Some market players in South Africa predict that the total bulk cargo imports could surge to 250,000-260,000 tonnes in 2023. Additionally, South Africa has also been importing bitumen in bitutainers and drums, although these quantities remain comparatively smaller.

According to the article by Procurement Resource, Saudi Aramco's subsidiary, Luberef, has begun bitumen tanker exports from its Yanbu Red Sea terminal. Overseeing the loading of a 5,500-tonne cargo onto the Ianthe tanker is the UAE-based Richmond Group. This shipment, possibly headed to Durban, South Africa, marks the first from Yanbu in decades. Amid logistical challenges, Luberef plans monthly exports of 5,000-6,000 tonnes, offering India, Africa, and potentially the Mediterranean, an alternative bitumen supply. Meanwhile, South Africa's bitumen imports are rising due to refinery shutdowns.