India's Imports of Cheap Russian Crude Surge Since Ukraine Invasion

Aftab Ahmed and Nidhi Verma
Monday, May 30, 2022

India has received 34 million barrels of discounted Russian oil since Moscow invaded Ukraine on Feb. 24, according to Refinitiv Eikon data, more than trebling the value of total imports from Russia, including other products, compared with the same period of 2021.

The volumes of India's seaborne oil imports from Russia exclude CPC Blend oil, which is also exported via Russia's Black Sea port, but mostly supplied by Kazakhstan's subsidiaries of western countries as transit volumes.

India's oil imports from Russia have been rising since February, as Asia's third-largest economy and the world's third-biggest oil importer, turned to deeply discounted Russian oil, mostly Urals crude, to cut its imports bill.  

The country received more than 24 million barrels of Russian crude this month, up from 7.2 million barrels in April and about 3 million in March, and is set to receive about 28 million barrels in June, according to Refinitiv Eikon oil flows.

Surging energy imports helped push India's total goods imports from Russia between Feb. 24 and May 26 to $6.4 billion, compared with $1.99 billion in the same period last year, according to government figures seen by Reuters.

India's exports to Russia, however, fell nearly 50% to $377.07 million over that period, as its government is yet to set up a formal payment mechanism.

As the West responded to the invasion with a barrage of sanctions, India has come under fire for its continued purchases of Russian energy. New Delhi has brushed off the criticism, saying those imports made only a fraction of the country's overall needs and has said it will keep buying "cheap" Russian oil, arguing a sudden stop would drive up costs for its consumers. Read full story

Russian and Indian energy companies have also been discussing term supply agreements and possible acquisitions of stakes in Russian oil and gas projects.

(Reuters - Reporting by Aftab Ahmed and Nidhi Verma / Editing by Tomasz Janowski)

Categories: Energy Activity Europe Asia Oil Tankers

Related Stories

Second Hai Long Substation Heads to Project Site Offshore Taiwan

Marine Masters Secures Wellhead Platforms Installation Job Off India

Tokyo Gas Enters LNG Market in Philippines

CNOOC Starts Production at Offshore Oil Filed Equipped with CCUS Tech

McDermott Concludes Work at PTTEP’s Kikeh Gas Field Off Malaysia

Shell Shuts Down Oil Processing Unit in Singapore Due to Suspected Leak

ABS Approves Hanwha Ocean’s FPSO Design

Floating LNG Conversion Job Slips Out of Seatrium’s Hands

Yinson and PetroVietnam JV Get FSO Contract for Vietnamese Field

Velesto’s Drilling Rigs Up for Automatization Overhaul Under New Tech Alliance

Current News

Woodside Inks Long-Term LNG Supply Deal with China Resources

CNOOC Starts Production at Two New Oil and Gas Projects

Argentina YPF to Shed Offshore Exploration Projects

Cairn India Might Invest in US Oil Servicing Firms to Increase Production

All Gas from Conrad’s Mako Field to be Sold to Indonesia’s PLN

ORE Catapult and Japan’s FLOWRA to Jointly Advance Floating Wind

Shell Hires Noble’s Drillship for Work in Southeast Asia

Second Hai Long Substation Heads to Project Site Offshore Taiwan

Shell Launches Next Phase of Malaysia's Deepwater Project with First Oil Production

CNOOC Discovers ‘Vast Exploration Prospects’ in China’s Beibu Gulf Basin

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com