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Hormuz bottleneck pushes Indian refiners to buy more Oman and West Africa crude

MRPL bought about 1 million barrels from Oman at a premium of roughly $3 per barrel to Dated Brent, while Indian Oil took in 4 million barrels from West Africa via tenders.

Reported · Written up by our desk · Energy

Several Indian refiners have turned to crude from Oman and West Africa after shipping constraints tied to the Strait of Hormuz and Bab el-Mandeb left Middle East term supplies tight, Reuters reported, citing trade sources.

State-run Mangalore Refinery and Petrochemicals Limited, MRPL, acquired about 1 million barrels of Oman crude via tender, paying a premium of roughly $3 per barrel to Dated Brent, according to Reuters’ sources.

Reuters also reported that state-run Indian Oil Corporation, the country’s largest refiner by capacity, bought a total of 4 million barrels of West African crude from Chevron, including Angola and Congo grades such as Nemba, Saxi Batuque, Clov and Djeno.

The shift comes as Indian refiners have scrambled to replace Middle East volumes since the start of the Iran war, including by sourcing from farther away producers, Reuters added, alongside a recent ramp-up in Russian crude imports.

Latest closeWTI crude $75.32 ▼6.2%|Brent $78.86 ▼5.9%

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