India’s state-owned refiners are assessing alternative ways to continue importing discounted Russian crude after the United States imposed sanctions on major producers Rosneft and Lukoil, according to a Bloomberg report.
Indian Oil, Bharat Petroleum, and Hindustan Petroleum have so far refrained from buying Russia’s flagship Urals grade since the sanctions were announced last week. The companies are awaiting guidance from the government before deciding whether to proceed with purchases through smaller, non-sanctioned suppliers, the report cited sources as saying.
With earlier restrictions already in place on Surgutneftegas and Gazprom Neft, refiners are trying to determine the scope of permissible trade. This includes volumes that could be sourced indirectly from non-blacklisted entities and potential changes in pricing dynamics.
The executives said refiners are also monitoring how Rosneft may reroute its oil exports through intermediaries or trading units not directly named in the sanctions.
IOC, BPCL, HPCL, and Reliance did not immediately respond to requests for comment. The oil ministry also did not immediately respond to Bloomberg queries.
The four sanctioned companies, Rosneft, Lukoil, Surgutneftegas, and Gazprom Neft, together accounted for over 80 per cent of India’s Russian crude imports in 2024, according to Kpler.
