New Delhi: Following the US waiver on Russian oil, Indian refiners have purchased about 30 million barrels of crude oil from Moscow, Bloomberg reported. Amid the West Asia crisis, which has disrupted energy supplies, the Donald Trump-led administration lifted sanctions on Russian crude oil and petroleum products loaded onto vessels before March 5, so long it is purchased by an Indian firm and delivered to India.
Indian Refiners Boost Russian Oil Imports
Following US tariffs, India started reducing its Russian crude oil purchase since last year. The US-Israel and Iran war has disrupted the key supply route – Strait of Hormuz. Iran has threatened to blow off ships carrying crude through the strategic route.
The media house quoted sources saying that after the US waiver, Indian firms, including Indian Oil Corporation and Reliance Industries Ltd have snapped up all unsold cargoes of Russian crude in the spot market.
The traders said that around 10 million barrels of the Russian crude was purchased by Indian Oil in February.
Bloomberg said Indian Oil and RIL did not immediately respond to their queries.
India significantly raised its purchase of Russian crude after Moscow invaded Ukraine in early 2022. Notably, Russian oil is not sanctioned, but Washington has blacklisted the country’s two largest producers. of oil.
Rising oil prices, Gas shortage
Meanwhile, rising oil prices increased and a possible shortage of petroleum products and gas have raised alarm bells. Prime Minister Narendra Modi today asked some top ministers to work together to ensure Indian consumers do not suffer from the impact of the Middle East conflict on the supply and price of petroleum products, PTI quoted sources as saying.
The government has also rejigged gas allocation to ensure uninterrupted supply for households and transport sectors. LPG production, CNG, and piped cooking gas will be the top priority over all other sectors using natural gas as the government rejigged allocation.