Taiyo Oil Buys First Russian Crude in More than Two Years on Government Request
06.11.2025 By Tank Terminals - NEWS

June 11, 2025 [Reuters]- Japanese refinery Taiyo Oil has bought its first Sakhalin Blend crude from Russia in more than two years at the Japanese government’s request, it said on Tuesday, to help ensure the stability of a plant also supplying Japan with liquefied natural gas.

 

Japan last imported Russian crude in February 2023, trade data showed, after Tokyo agreed with other G7 countries to phase out imports in response to Moscow’s 2022 invasion of Ukraine.

China has since been the sole importer of Sakhalin Blend, but sanctions imposed by the former Biden administration in January on ice class tankers, used to lift oil from Sakhalin, have disrupted that trade, according to Kpler data and traders.

The Sakhalin Island complex, known as Sakhalin-2 and owned by Russia’s Gazprom and Japanese companies, is vital to Japan’s energy security as it accounts for 9% of its LNG imports.

Tokyo asked refiners earlier this year to consider buying Sakhalin Blend crude, a byproduct of LNG production, so the project can continue to operate smoothly.

The U.S. sanctions make exemptions for transactions related to Sakhalin-2 oil byproduct until June 28, 2025, provided it is imported only to Japan.

“At the request of the Ministry of Economy, Trade and Industry, we have decided to take delivery of 600,000 barrels of Sakhalin Blend crude oil,” a Taiyo Oil spokesperson told Reuters by phone.

“This decision was made to help ensure a stable energy or LNG supply to Japan.”

Aframax tanker Voyager, which is under U.S. sanctions, arrived at the Japanese port of Kikuma on Monday and left after discharging its cargo, LSEG shipping data showed.

An official of the industry ministry who deals with fuels confirmed the government’s request to its refiners.

The Taiyo Oil spokesperson said there are no plans for additional Sakhalin-2 purchases at the moment.

 

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