- The United States sanctioned 14 vessels, including three scheduled to deliver crude oil to Indian refiners, for allegedly transporting Russian oil priced above the West’s $60-per-barrel cap.
- While industry insiders anticipate no immediate issues with deliveries, the sanctions signal stricter enforcement of price caps.
- India, heavily reliant on Russian crude imports, may face limited impact initially, but future deliveries and payments could be affected.
Recent sanctions imposed by the United States target 14 vessels, including those scheduled to deliver crude oil to Indian refiners in the coming weeks. Allegations of transporting Russian oil priced above the West’s $60-per-barrel cap led to the sanctions, raising concerns about the impact on India’s crude imports.
Tanker Deliveries and Schedule
Among the sanctioned tankers, three are scheduled to deliver crude oil to Indian refiners. The Georgy Maslov tanker is set to reach Sikka port later this week, while the Anatoly Kolodkin and NS Captain are scheduled for deliveries in April and March-April, respectively. Indian refiners like Reliance Industries and Indian Oil Corporation utilize these ports for importing crude oil.
Potential Impact and Industry Response
Although there may not be immediate disruptions to these specific deliveries, the sanctions highlight stricter enforcement of price caps on Russian oil. Indian refiners may become unwilling to accept crude oil from sanctioned tankers once the 45-day grace period expires. Concerns also arise regarding payment processing by Indian banks for such cargoes.
India’s Stance and Energy Security Concerns
India, not a signatory to the price cap regime, views discounted Russian crude purchases as vital for its energy security. Despite geopolitical tensions, Indian leaders emphasize the role of Russian crude in stabilizing global energy markets and mitigating supply volatility. Rampant Russian oil purchases by Indian refiners followed Moscow’s 2022 invasion of Ukraine, positioning Russia as India’s largest crude source.
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Source: Indian Express
