ADNOC Expands Trading Activity With Large Purchases of Iraqi Crude

ADNOC has increased its activity as an oil trader by purchasing large volumes of discounted Iraqi crude, according to a Reuters report citing people familiar with the transactions. The purchases come as regional supply disruptions reshape trading flows.

The report said Iraq’s state marketer allocated 32 million barrels to ADNOC for August and a further 40 million barrels for September. Actual August liftings were lower because of export constraints, while the reported discounts varied by cargo and delivery period.

The transactions show how ADNOC’s trading arm is using its scale and logistics network beyond the company’s own production. They also provided Iraq with a major buyer while its exports were recovering from earlier disruption.