Indian oil refiners explore Middle Eastern markets amid Russian supply cuts

The three major state-owned oil refiners—Indian Oil Corp, Bharat Petroleum Corp, and Hindustan Petroleum—are facing a shortfall of 8-10 million barrels of Russian oil for January loading, the sources said.

The companies are concerned that issues with obtaining Russian crude on the spot market may continue in the coming months, as Russia's domestic demand increases and Moscow needs to fulfill its obligations under the OPEC+ agreement.

According to the report, Indian refineries may secure additional supplies from Middle Eastern suppliers within national quotas under long-term contracts or announce a spot tender for high-sulfur crude.

In February 2024, India stopped purchasing Russian Sokol crude grade oil.

In March 2024, India stopped buying another type of Russian oil.

In December 2024, Russia and India signed their largest-ever oil deal.