US Grants India 30‑Day Waiver To Buy Russian Crude
·4 months ago·2 min read
Key Points
The U.S. government is taking steps to curb rising oil price. India has been reducing Russian oil purchases with supply from Middle East.
New Delhi, Mar 6: The United States has granted India a temporary 30‑day waiver to purchase Russian crude oil stranded at sea. The decision comes amid heightened global tensions and volatile energy markets, offering Indian refiners short‑term relief and access to discounted supplies.
Following the move, oil prices dropped early on Friday.
The April contract of the benchmark Brent crude on the Intercontinental Exchange was trading at $84.21 per barrel, down by 1.52 per cent from its previous close.
The West Texas Intermediate on the Intercontinental Exchange fell 2.10 per cent to $79.31 a barrel in the early trade.
The 30-day waiver by the US eased tensions for the global oil supply chain amid disruptions around the Strait of Hormuz. The US announcement may allow further flexibility to Indian refiners to source more Russian crude.
"To enable oil to keep flowing into the global market, the Treasury Department is issuing a temporary 30-day waiver to allow Indian refiners to purchase Russian oil. This deliberately short-term measure will not provide significant financial benefit to the Russian government as it only authorises transactions involving oil already stranded at sea," said US Treasury Secretary Scott Bessent.
Also read: Sukhoi Su-30 Crash In Assam: IAF Confirms Loss Of Two Pilots, Expresses Condolences
The US had earlier said that it may deploy naval escorts for oil tankers passing through the Strait of Hormuz if necessary, as the conflict with Iran raised concerns about global energy supplies and shipping security in one of the world’s most critical maritime corridors. The White House also stated that recent actions against Iran could ultimately improve the stability of global energy markets.
India imports nearly 90 per cent of its oil requirement through imports.
According to data from global ship tracking firm Kpler, in February, Russia supplied 1.04 million barrels of oil per day (bpd) on an average, followed by 1 million bpd by Saudi Arabia and 980,000 bpd by Iraq,
India uses about 5.5 million barrels of crude daily, of which 1.5–2 million barrels pass through the Strait of Hormuz.
(IANS)
Following the move, oil prices dropped early on Friday.
The April contract of the benchmark Brent crude on the Intercontinental Exchange was trading at $84.21 per barrel, down by 1.52 per cent from its previous close.
The West Texas Intermediate on the Intercontinental Exchange fell 2.10 per cent to $79.31 a barrel in the early trade.
The 30-day waiver by the US eased tensions for the global oil supply chain amid disruptions around the Strait of Hormuz. The US announcement may allow further flexibility to Indian refiners to source more Russian crude.
"To enable oil to keep flowing into the global market, the Treasury Department is issuing a temporary 30-day waiver to allow Indian refiners to purchase Russian oil. This deliberately short-term measure will not provide significant financial benefit to the Russian government as it only authorises transactions involving oil already stranded at sea," said US Treasury Secretary Scott Bessent.
Also read: Sukhoi Su-30 Crash In Assam: IAF Confirms Loss Of Two Pilots, Expresses Condolences
The US had earlier said that it may deploy naval escorts for oil tankers passing through the Strait of Hormuz if necessary, as the conflict with Iran raised concerns about global energy supplies and shipping security in one of the world’s most critical maritime corridors. The White House also stated that recent actions against Iran could ultimately improve the stability of global energy markets.
India imports nearly 90 per cent of its oil requirement through imports.
According to data from global ship tracking firm Kpler, in February, Russia supplied 1.04 million barrels of oil per day (bpd) on an average, followed by 1 million bpd by Saudi Arabia and 980,000 bpd by Iraq,
India uses about 5.5 million barrels of crude daily, of which 1.5–2 million barrels pass through the Strait of Hormuz.
(IANS)
📱 Get Argus News App
✨📰 60 Word News🎬 Argus Podcast📺 Live TV and Breaking News🔔 Free Notification Alerts
Download Free:
Related Topics
Explore more stories