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Market Chatter: Indian Refiners Secure Crude, LPG Supplies Through August Amid Middle East Disruptions

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Indian refiners have reportedly secured enough crude to meet their requirements, at least through August, according to a Reuters report, citing industry sources familiar with the matter.

Refiners in the world's third-largest oil-importing nation have stepped up purchases from the UAE's Abu Dhabi National Oil Company, also known as ADNOC, along with other prominent sellers, lifting both crude and LNG cargoes via ship-to-ship transfers, on a free-on-board basis, according to the report.

The state-run Hindustan Petroleum Corp. has reportedly purchased 4 million barrels of Murban crude from the UAE for delivery in August, via Totsa, the trading arm of TotalEnergies, and Mercuria.

It has also purchased 2 million barrels of crude from Brazil and West Africa, for its 180,000 barrel-per-day refinery in the western state of Rajasthan. The company's crude purchases were reportedly made at a 40 cent premium to the July-dated Brent benchmark.

Others, such as Indian Oil Corp and Mangalore Refinery and Petrochemicals, have similarly increased their purchases via spot tenders in recent weeks, to shore up supplies, as regular flows from the Middle East remain disrupted by the Iran war.

Hindustan Petroleum, Indian Oil and Mangalore Refinery and Petrochemicals did not immediately respond to' request for a comment on this story.

(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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