India Expects Steady Supply of Russian Oil Amid U.S. Sanctions

INIndia|

NEW DELHI - India is projected to maintain its import of Russian oil for the next two months without any expected disruptions, according to a senior government official. This assurance comes after the U.S. Treasury imposed sanctions on Russian oil producers, including Gazprom Neft and Surgutneftegaz, as well as 183 vessels involved in Russian oil transport to impede funding for the war in Ukraine.

India will permit discharge of Russian oil cargoes that were booked prior to January 10. The official stated, "The market is waiting for Russia to respond on sanctions," highlighting that Moscow is likely to continue finding ways to supply oil to India. The official also mentioned the potential for Russia to offer deeper discounts to comply with the $60 per barrel price cap set by the Group of Seven nations.

Market reactions have seen Brent crude futures rise above $81 a barrel, reflecting concerns over potential supply disruptions to China and India. However, the Indian official downplayed the spike, suggesting prices will ease below $80 due to an overall stable supply situation.

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