India Guided By Need To 'Secure Affordable Energy': MEA On Russian Oil Sanctions

The Ministry of External Affairs on Thursday stressed on the need for India to secure affordable energy in light of the US sanctions on Russia's two major oil companies.

"We are studying the implications of the recent U.S. sanctions on Russian oil companies. Our decisions naturally take into account the evolving dynamics of the global market," the MEA said.

The MEA further clarified that India will focus on affordability by obtaining energy from diversified sources.

"Our position on the larger question of energy sourcing is well known. In this endeavor, we are guided by the imperative to secure affordable energy from diverse sources to meet the energy security needs of our 1.4 billion people," the MEA added.

US President Donald Trump recently reiterated his claim that India is no longer buying oil from Russia, saying that it had already "de-escalated" and "more or less stopped" its oil buying.

Indian refiners have refrained from placing new orders for Russian oil after the US put sanctions on Moscow's top two crude exporters last week, as they react to a changing market landscape and to make sure they are on good terms with their international commitments.

The US last week imposed sanctions on Rosneft and Lukoil in a bid to pressure Moscow into ending its war in Ukraine.

HMEL, which operates a nine million tonnes a year oil refinery at Bhatinda in Punjab, was the first Indian company to officially announce suspension of purchase of Russian crude after the US sanctioned the two Russian oil giants.

Russian entities may be barred but the purchase of Russian oil has not been sanctioned by the US. Non sanctioned parties who sell Russian crude products such as petrol and diesel which are processed in refineries, should be free to sell their products and may be viable candidates for oil purchase.