• 4 minutes Energy Armageddon
  • 6 minutes How Far Have We Really Gotten With Alternative Energy
  • 10 minutes Russia Says Europe Will Struggle To Replace Its Oil Products
  • 5 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 days Reality catching up with EV forecasts
  • 4 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 3 days A Somewhat Realistic View of the Near Future for Electric Vehicles Worldwide
  • 13 days US Oil Independence is a myth and will always be a myth
  • 9 days The Federal Reserve and Money...Aspects which are not widely known
  • 14 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 17 days "Biden Is Running U.S. Energy Security Into The Ground" by Irina Slav
  • 17 days *****5 STARS - "The Markets are Rigged" by The Corbett Report
A Long-Term Play On Diversity In Renewable Energy

A Long-Term Play On Diversity In Renewable Energy

The trick for long-term investors…

The ExxonMobil Papers

The ExxonMobil Papers

Two weeks ago, the prestigious…

India Wants To Buy Russian Oil, At Below $70 A Barrel

The world’s third-largest oil importer, India, is negotiating steep discounts for the Russian oil it is prepared to buy, asking for below $70 per barrel price to compensate for logistics, financing, and sanctions troubles for buying crude that is now toxic for most of the West, Bloomberg reported on Wednesday, quoting sources familiar with the talks. 

Since the beginning of the Russian war in Ukraine, India – a price-sensitive crude buyer which has criticized OPEC and OPEC+ for keeping oil prices “artificially high” – has increased its purchases of Russian crude. Before the war, Indian refiners rarely bought oil from Russia at such a scale because of high freight costs. 

Now India – alongside China – is left as one of the few buyers willing to deal with Russian oil, and is using that leverage in high-level talks with Russia. India wants Russia to discount its oil to below $70 a barrel on a delivered basis, according to Bloomberg’s sources. 

ADVERTISEMENT

If India and Russia agree on such a hefty discount – with Brent over $108 a barrel early on Wednesday – state-owned refiners in India could import as much as 15 million barrels of Russian oil in May, Bloomberg’s sources say. This would be equivalent to around 10% of all of India’s oil imports.

While China and India are not shying away from Russian crude, the logistics of shipping oil from Russia’s Black Sea and Baltic ports to Asia and the scarce tanker availability, bank guarantees, and insurance for Russian cargoes would limit the amount of oil that Asia could take and compensate for lost barrels that are no longer going to Europe, analysts say.

ADVERTISEMENT

Cheap Russian barrels currently appear irresistible to Indian refiners, despite warnings from the United States that buying Putin’s oil is not in New Delhi’s best interest.

India has abstained from joining almost all countries in the world in condemning Russia’s invasion of Ukraine in UN resolutions, and has defense and military ties with Moscow.    

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

ADVERTISEMENT


ADVERTISEMENT


Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News