China Customs confirms crude imports up 39 pct year-on-year in July, LNG imports up fivefold

China's General Administration of Customs confirmed preliminary data released earlier this month that showed that the country imported 39.3 percent more crude oil in July than it did in same month last year, and that liquefied natural gas (LNG) imports soared fivefold in order to meet robust energy demand during the country's peak summer consumption season.

China's crude oil imports in July hit a record monthly high of 14.83 million tons, equivalent to 3.51 million barrels per day, which brought the total volume of crude imported from overseas so far this year to 96.37 million tons, up 14.7 percent year-on-year.

At the same time, the country exported 81.7 percent more gasoline during the first seven months than it did during the same period last year, while light diesel exports fell 29 percent year-on-year.

Saudi Arabia remained as the largest crude exporter to China between January and July, with the Middle Eastern country exporting 14.3 million tons of crude to China during the seven-month period. By volume, Saudi Arabia was followed by Angola and Iran. Sudan saw the biggest leap in its oil exports to China during the period, with its exports to China lifting almost sixfold to reach 6.2 million tons.

China imported 356,139 tons of LNG from Australia and Algeria during July, a significant increase on the 62,427 tons the country imported in the same period last year. Between January and July, the country imported 1.26 million tons of LNG from Australia at an average price of $165 per ton through fixed long-term contracts, while spot LNG cargos from Algeria and Oman reached a total of 114,914 tons during the same period. The price of such spot imports was $431.5 per ton, almost triple the average fixed long-term contract price for the period.

China's first spot shipment of LNG came from Oman in May. Aimed at supplementing the country's long-term contract with Australia, the shipment arrived at the country's only operational LNG receiving terminal, which is located in the city of Shenzhen in Guangdong Province. A terminal in Fujian Province, which is expected to be the country's second operational LNG terminal, is scheduled to start receiving 2.6 million tons of LNG annually from Indonesia later this year.

The central government plans to build as many as 11 LNG terminals along the country's east coast. Locations for the bases include the southwestern Guangxi Autonomous Region, the city of Zhuhai in Guangdong Province, Qinghuangdao in Shandong Province, Dalian in Liaoning Province, northern Tianjin and Caofeidian in Hebei Province.