Data shows that India's purchases of Russian oil increased in November
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| Data shows that India's purchases of Russian oil increased in November |
The majority of Indian refiners' yearly contracts are with Saudi Arabia and other large Middle Eastern manufacturers.
December imports may reach 1.7–1.8 million bpd or perhaps more
As a result of numerous facilities returning online after scheduled maintenance and a spike in fuel use over the Diwali holiday, India's imports of Russian oil increased in November, according to preliminary data from ship-tracking companies Kpler and Vortexa.
The third-largest oil user and importer in the world has increased its purchases of discounted Russian oil after several Western nations stopped importing it as a result of Russia's invasion of Ukraine last year.
According to figures from Kpler and Vortexa, India's monthly consumption of Russian oil increased by 9% and 5%, respectively, to 1.73 million barrels per day (bpd) as well as 1.68 million bpd in November.
A shipment of Kazakh CPC mix crude was included in the data from both sources; Kpler estimated the amount at 27,000 bpd.
Kpler statistics revised October imports from Russia to 1.58 million bpd, while Vortexa estimates put that figure closer to 1.6 million bpd. During the month, the agencies update the statistics on oil flow.
The import volume is still below the 2 million bpd high it reached in May due to a substantial narrowing of the discounts.
According to Victor Katona, a crude analyst at Kpler, "India is on the increase since the completion of autumn refinery repairs in early November, because almost every refiner is now ramping up to meet rising domestic demand.""
"Ural supplied to India nonetheless comes at around -$4 to -$5 per barrel to Dubai, so it maintains a competitive advantage over term deals coming from the Middle East," Katona said.
The majority of Indian refiners' yearly contracts are with Saudi Arabia and other large Middle Eastern manufacturers. According to both authorities, India's consumption of Saudi oil fell by about 25% in October and November.
As India's diesel consumption hits its seasonal peak, imports might be as high as 1.7–1.8 million bpd in December, according to Kpler's Katona.
However, he noted that refiners' desire may be curtailed by the potential for shipments to get entangled in US sanctions.
Three oil ships that have been routinely transporting Sokol crude from Russia's Far East to Indian Oil Corp, the nation's largest refiner, have been sanctioned by the US.
According to LSEG and Kepler data, one of them, NS Century, has not yet discharged its cargo despite having previously said that it will do so at the Vadinar port in Gujarat on November 25.
The tanker was last seen close to Colombo, Sri Lanka, according to the data.
The top three suppliers in India for first imports are shown in the table below. There are 1,000 bpd of volume.
Nationwide Kepler Vortex
October November %chg October November %chg
Russia 1.601 4.93 1.73 1.58 9.49 1.68
Iraq 0.840 1 0.776 28.87 1.025 22.02
saudi Arabia 0.645 0.860 -25.00; 0.647 0.883 -26.73;
