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Market Chatter: Indian Refiners Cancel Iraqi Oil Liftings Amid Strait of Hormuz Security Risks

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State-run Indian Oil, and Mangalore Refinery and Petrochemicals have cancelled upcoming crude oil liftings from Iraq's Basrah Oil Terminal, driven by mounting security threats and attacks on vessels transiting the strategic Strait of Hormuz, Reuters reported Tuesday, citing sources.

Indian Oil had been preparing to load 2 million barrels of Iraqi crude onto the very large crude carrier, Lila Jamnagar, around July 23. Similarly, MRPL cancelled its plans to lift oil using the Indian-flagged Aframax tanker Desh Gaurav, the report said.

The disruptions follow heightened maritime tensions in the region and an advisory from Indian authorities instructing shipowners, managers, and recruitment firms not to deploy Indian seafarers on vessels operating through the Strait of Hormuz, the report added.

Both the refiners did not respond immediately to' request for comments.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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