Chinese Oil Terminal Restarts After Sinopec Stake Sale
The Rizhao Shihua oil terminal resumed operations after a Sinopec unit sold its stake to a local operator. This follows months of idling due to U.S. sanctions.
A major oil terminal in China has resumed operations following a significant change in ownership, effectively bypassing restrictions previously imposed by the United States. The Rizhao Shihua terminal, located in the city of Lanshan, had been idled for several months after being sanctioned for handling crude oil from Iran carried on sanctioned vessels. The facility's closure had disrupted regional supply chains and forced significant cargo diversions for state-owned refiners who relied on the hub for a substantial portion of their imports.
The resumption of activity follows a strategic divestment by SINOPEC KANTONS HOLDINGS, the logistics arm of the state refiner, which sold its 50% stake in the facility. The interest was acquired by a local port operator, Rizhao Port Jurong Co., Ltd., which previously held the other half of the terminal. According to corporate filings, the liquidation and asset disposal were finalized for approximately 2.41 billion yuan, or roughly $350 million.
