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Asian refiners turn to Argentinian Medanito crude as Iran war disrupts supply
Argentinian exports averaged 215,000 barrels per day this year, while exports to Asia averaged a record 35,000 barrels per day through July, more than five times the average in 2025.
Asian refiners in Japan, South Korea, and China have increased purchases of Argentinian Medanito crude as the Iran war disrupts Middle East supply and intensifies competition for alternative barrels, according to traders cited by LiveMint Markets (Bloomberg).
Traders said Japan’s Eneos Holdings and Taiyo Oil, South Korea’s Hyundai Oilbank, and China’s PetroChina and Shaanxi Yanchang Petroleum have bought the grade, with cargo loading dates stretching from August through October. The Medanito crude is comparable to US West Texas Intermediate, and demand has risen since the war began.
LiveMint Markets (Bloomberg) reported that shipments from Argentina to Asia are still small versus other producing countries, but the interest reflects refiners’ push to diversify supply and strengthen energy security. Argentina’s Medanito exports averaged 215,000 barrels a day this year, with most going to the US and Chile, while exports to Asia averaged 35,000 barrels per day through July, more than five times the average of 2025.
The outlet also linked the grade’s appeal to economics and logistics, saying it sells at a discount of about $1 to $2 per barrel versus US oil and can reach Asia without transiting the Panama or Suez canals, though Argentina’s ports can load Aframax vessels rather than very large crude carriers. It added that the Vaca Muerta Oil Sur project is scheduled to come online next year and could help ease sea export constraints and lift future shipments.
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