Azerbaijan, Baku / corr. Trend V.Sharifov / The Trade Company Tosta acquired 500,000 tons of L-62 diesel fuel from the State Oil Company of Azerbaijan (SOCAR) as a result of tender. The fuel should be loaded in the second half of the year, a source in SOCAR stated. The oil product will be transported to the Black Sea Ports of Batumi and Poty via the Azerbaijani-Georgian railway.
SOCAR's representative said that in the first quarter 300,000 tons of diesel fuel was sold to a trader of Addax. According to the traders working in the Azerbaijani and Georgian markets, Addax promptly used the oil product of SOCAR irrespective of the high transport expenses. "Addax purchased the SOCAR oil product on FCA terms and over the recent period, the trader had very high transport expenses on delivering the product to the Georgian ports," a source in the market said.
In January-April, Baku Oil Refineries produced 666,000 tons of diesel fuel, a decrease of 7.5% from the same period in 2006. According to the data of the State Statistics Committee, as of 1 May, the reserves of the oil product equaled 10,600 tons.