Singapore-based Aster Chemicals and Energy has shifted part of its crude procurement toward the Americas and Africa after disruptions to Middle Eastern oil supplies caused by the ongoing Iran war, Reuters reported.
The refiner previously sourced about 70% of its crude from the Middle East, but has now turned to suppliers in West Africa, Latin America, the US, and Canada, according to Han Lih Kwong, senior general manager at Aster, who spoke at the APPEC conference.
Aster operates a 237,000 barrels per day (bbl/d) refinery on Singapore’s Bukom Island and is a joint venture between Indonesia’s Chandra Asri and global commodities trader Glencore.
The move highlights how Asian refiners are adjusting their crude procurement strategies as the disruption of Gulf exports continues to constrain supplies through the region’s traditional supply routes.
Aster’s shift toward Atlantic Basin crude provides the refinery with alternative sources as Middle Eastern barrels become more difficult and costly to secure.
Asian refiners have increasingly sought crude from the US and other non-Middle Eastern producers since the start of the Iran war. Reuters reported in August that Japan’s Cosmo Energy bought Mars crude from Trafigura, while Japan’s Eneos purchased US West Texas Intermediate (WTI). Taiwan’s CPC also bought US and West African crude. Before the war, Asia sourced more than half of its crude from the Middle East.
The diversification is particularly significant for Singapore, one of Asia’s major refining and trading centers. Reuters reported in March that several Singapore refineries had reduced crude processing rates following disruptions to Middle Eastern supplies, while Aster and other petrochemical companies declared force majeure.
Aster has also been expanding the flexibility of its Bukom operations. In February, Aster said it expected to complete projects in the second half of 2026 that would increase its crude and condensate processing capacity to 307,000 b/d from 237,000 b/d. The company was also repairing a single buoy mooring (SBM) to enable very large crude carriers (VLCCs) carrying about 2 million barrels to discharge at the refinery.
