Indian refiners, led by Indian Oil Corp. Ltd., are scrambling to secure millions of barrels of Russian oil as New Delhi seeks to mitigate an energy crisis triggered by an escalating Iran war in the Middle East.
The refiners are pivoting back to Moscow's barrels after the US Treasury Department issued a 30-day waiver, allowing India to purchase Russian oil currently "stranded at sea".
The waiver represents a temporary thaw in Washington's campaign to pressure New Delhi into diversifying away from Russian energy.
India has snapped up approximately 20 million barrels of Russian oil, with state refiners including Indian Oil, Bharat Petroleum Corp. Ltd., and Hindustan Petroleum Corp. Ltd. re-entering talks with traders for prompt delivery.
The desperation for supply has altered the economics of the trade, with traders selling Russian Urals to India at a premium of $4 to $5 per barrel relative to Brent.
