After Indian Oil, Now Hindustan Petroleum Has Bought 2 Million Barrels Of Crude Oil From Russia, Mangalore Refinery Also In Line
New Delhi (NewsReach) : Indian refinery companies have stepped up efforts to import oil from Russia at subsidized rates. According to the report of news agency PTI, after Indian Oil Corporation (IOC), now Hindustan Petroleum Corporation Ltd (HPCL) has also bought 20 lakh barrels of Russian crude oil. After Indian Oil Corporation (IOC), Hindustan Petroleum Corporation Ltd bought Russian crude through European trader Vitol, sources said.
Not only this, Mangalore Refinery and Petrochemicals Limited (MRPL) has also floated a tender for 10 lakh barrels of crude oil. In fact, most countries are avoiding buying oil from Russia due to sanctions imposed by Western countries after the Russian attack on Ukraine. Because of this, Russian crude is available in the market at a huge discount. At the same time, refineries in India have shown interest in taking advantage of this opportunity.
According to the PTI report, to take advantage of this opportunity, Indian refinery companies are issuing tenders for the purchase of oil at a concessional rate. These tenders are mostly won by such traders who have cheap oil reserves. Sources said that the country’s top oil company Indian Oil Corporation (IOC) bought crude oil at a discounted rate through Vitol at the end of last week. It is to be delivered in May.
Hindustan Petroleum Corporation Ltd (HPCL) procured two million barrels of crude this week, sources said. Its supply is also to be done in May. However, Reliance Industries Limited, the operator of the world’s largest refining complex, may avoid buying Russian crude oil as sanctions imposed on Russia could affect its investment in the US. If sources are to be believed, due to the discount of $ 20-25 per barrel, the trend to buy Russian oil has increased.