- India's hopes to resume Iranian crude imports are on hold amid US-Iran tensions, sources say
- Indian refiners are not importing Iranian crude and await possible US waiver extensions
- India's crude oil supplies face no immediate threat due to secured inventories and sourcing
Amid renewed US-Iran tensions, India's hopes of resuming crude oil imports from Iran have been put on hold as prospects for any easing of sanctions remain uncertain, sources told NDTV Profit.
Indian refiners are not currently importing Iranian crude and had only been assessing the possibility of resuming purchases if the US extended sanctions waivers beyond August, sources said.
The latest geopolitical developments have, however, stalled those expectations, leaving the prospects of Iranian oil returning to India's import basket uncertain in the medium to long term.
Despite the uncertainty, there is no immediate threat to India's crude oil supplies.
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State-run refiners have secured adequate inventories to meet demand through August, while the country's diversified sourcing strategy continues to cushion against supply disruptions, sources added.
Russian crude remains India's largest source of imported oil, helping refiners reduce dependence on any single supplier and maintain stable supplies despite volatility in West Asia.
Analysts, however, cautioned that an extended period of instability in the region could have a greater impact on liquefied petroleum gas (LPG) and liquefied natural gas (LNG) supplies than on crude oil.
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Unlike crude imports, where India has diversified sourcing significantly in recent years, the country continues to rely heavily on Gulf producers for LPG and LNG.
Any disruption to supplies or shipping routes could tighten availability and increase cooking gas prices, analysts said.
NDTV Profit has reached out to Indian Oil Corp., Bharat Petroleum Corp. Ltd. and Hindustan Petroleum Corp. Ltd. for comment. The responses were awaited at the time of filing this report.
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