Indian Oil, BPCL resume Russian oil imports for Sept-Oct deliveries: Reports

New Delhi: India’s state-run refiners Indian Oil Corporation (IOC) and Bharat Petroleum Corporation Limited (BPCL) have resumed purchasing Russian crude oil for September and October deliveries, following improved discounts on supplies, Reuters reported on Wednesday, citing two officials.

The refiners had reportedly paused Russian oil imports in July due to shrinking discounts and mounting geopolitical pressure. The halt came shortly after criticism from Washington over India’s continued buying of Russian crude amid the Ukraine conflict. US President Donald Trump had also warned of a 25% tariff on Indian goods, effective August 27, in response to the purchases.

However, with discounts on Russia’s flagship Urals crude widening to approximately $3 per barrel, the economics have once again turned favourable for Indian refiners, according to the officials quoted by Reuters. China, meanwhile, has also reportedly ramped up its intake of Russian oil.

In addition to Urals, IOC has procured other Russian crude grades such as Varandey and Siberian Light, making the most of the available price advantage, the report added.

The report added that, IOC would continue purchasing Russian oil based on pricing and market conditions.