IANSET Year-end Special Reads
The refiners fear continued problems in securing Russian oil in the spot market could continue in coming months as Moscow's own demand is rising and it has to meet commitments under the OPEC pact.
However, they added that they can draw from their inventories to meet crude processing needs in March.
Two of the sources said their company may lift more crude from Middle East suppliers under optional volumes in term contracts or to float a spot tender for high-sulphur oil.
Strategy
ESG and Business Sustainability Strategy
Web Development
Java 21 Essentials for Beginners: Build Strong Programming Foundations
Data Analysis
Learn Power BI with Microsoft Fabric: Complete Course
Entrepreneurship
Boosting Startup Revenue with 6 AI-Powered Sales Automation Techniques
Leadership
Business Storytelling Masterclass
Web Development
Master RESTful APIs with Python and Django REST Framework: Web API Development
Marketing
Digital Marketing Masterclass by Pam Moore
Entrepreneurship
Crafting a Powerful Startup Value Proposition
Office Productivity
Mastering Google Sheets: Unleash the Power of Excel and Advance Analysis
Data Science
MySQL for Beginners: Learn Data Science and Analytics Skills
Data Science
SQL for Data Science along with Data Analytics and Data Visualization
Web Development
Django & PostgreSQL Mastery: Build Professional Web Applications
Web Development
Advanced C++ Mastery: OOPs and Template Techniques
Marketing
Performance Marketing for eCommerce Brands
Strategy
Succession Planning Masterclass
Finance
Tally Prime & GST Accounting: Complete Guide
Web Development
JavaScript Essentials: Unlock AI-Driven Insights with ChatGPT
Astrology
Vastu Shastra Course
Web Development
A Comprehensive ASP.NET Core MVC 6 Project Guide for 2024
Artificial Intelligence(AI)
AI for Everyone: Understanding and Applying the Basics on Artificial Intelligence
Web Development
Advanced Java Mastery: Object-Oriented Programming Techniques
Entrepreneurship
Marketing & Sales Strategies for Startups: From Concept to Conversion
Artificial Intelligence(AI)
Collaborative AI Foundations: Working Smarter with Machines
IOC, the country's top refiner, previously floated spot tenders to buy sour grades in March 2022.
The companies did not immediately respond to requests for comment.
India became the largest importer of Russian crude after the European Union, previously the top buyer, imposed sanctions on Russian oil imports in response to the 2022 invasion of Ukraine. Russian oil accounts for more than a third of India's energy imports.
Russia's spot crude exports have fallen since November as its refineries resumed operations after the maintenance season and poor weather disrupted shipping activities, traders said.
"We have to explore alternative grades as Russia's own demand is rising and it has to meet its commitments under OPEC," said another of the three sources.
Russia, an ally of Organization of the Petroleum Exporting Countries, promised to make extra cuts to its oil output from the end of 2024 to compensate for overproduction earlier.
Also, most supplies from Russia's state oil firm Rosneft are tied up in a deal with Indian private refiner Reliance Industries, Reuters reported earlier this month.
The new deal accounts for roughly half of Rosneft's seaborne oil exports from Russian ports, leaving little supply available for spot sales, sources told Reuters earlier this month.
India has no sanctions on Russian oil, so refiners there have cashed in on supplies made cheaper than rival grades by the penalties by at least $3 to $4 per barrel.
Sources said there are traders in the market that are willing to supply Russian oil for payments in Chinese Yuan but noted that state refiners stopped paying for Russian oil in the Chinese currency after advice from the government last year.
"It is not that alternatives to Russian oil are not available in the market but our economics will suffer," the first source said.
(Catch all the Business News, Breaking News, Budget 2024 Events and Latest News Updates on The Economic Times.)
Subscribe to The Economic Times Prime and read the ET ePaper online.
Read More News on
(Catch all the Business News, Breaking News, Budget 2024 Events and Latest News Updates on The Economic Times.)
Subscribe to The Economic Times Prime and read the ET ePaper online.
Get Unlimited Access to The Economic Times
