With Eye On U.S. Sanctions, India Moves To Keep Russian Oil Flowing

India-West News Desk

NEW YORK, NY – Indian refiners are restructuring their dealings with oil traders, insurers, and vessel operators to ensure a steady flow of discounted Russian crude while avoiding violations of the latest U.S. sanctions, Bloomberg reported.

Following the January 10 U.S. sanctions on dozens of tankers transporting Russian oil to Asia, as well as additional restrictions on traders and networks involved in Russia’s energy trade, India has been scrambling to secure supplies from non-blacklisted entities, Bloomberg reported.

With over 80% of its crude oil needs met through imports, India is facing rising costs and a shrinking supply of cheap Russian barrels as refiners distance themselves from explicitly sanctioned tankers, Bloomberg reported.

Indian officials have stated that the country will continue purchasing Russian crude if it remains below the $60-per-barrel price cap, is transported via non-sanctioned vessels, and involves no blacklisted companies or individuals.

For now, the U.S. has clarified that Russian oil tankers sanctioned last month may continue offloading crude at Indian ports until February 27. While this provides temporary relief, the future of India’s trade with Russia remains uncertain.