India may once again be turning to Russian crude oil as tensions in the Middle East disrupt global supply routes, reported Bloomberg based on ship tracking data.
Two oil tankers that were earlier expected to head towards East Asia have now switched their destination to India. Data from Kpler and Vortexa show the ships are carrying a combined 1.4 million barrels of Urals crude, a Russian oil grade that loads from ports in the Baltic and Black Seas.
The change in route suggests that Indian refiners may be more open to buying Russian oil again as the war involving Iran disrupts supplies from the Middle East. The conflict has also affected shipping through the Strait of Hormuz, a key route through which a large share of the world’s oil moves.
According to Bloomberg, the supply risks in the region are pushing buyers like India to look again at Russian crude.
RUSSIAN OIL SHIPMENTS HEAD TO INDIA
One of the tankers, Odune, is a Suezmax vessel carrying around 730,000 barrels of Urals crude. Ship tracking data and port agent reports show that the tanker reached Paradip port on India’s east coast on Wednesday. However, it is not yet clear whether the cargo has been discharged.
Another tanker, Matari, is an Aframax vessel carrying more than 700,000 barrels of the same grade of oil. It is expected to reach Vadinar port in western India on Thursday.
Bloomberg reported that both cargoes were earlier signalling that they were heading to East Asia, but their destination changed while in transit.
Urals crude had earlier become very popular with Indian refiners after Western sanctions were imposed on Russia following the Ukraine war. The discounted oil helped India meet its energy needs at lower prices.
However, shipments to India slowed sharply this year after pressure from the United States on New Delhi to reduce purchases of Russian crude.
INDIAN REFINERS HAD CUT BACK PURCHASES
In recent weeks, Indian refiners had reduced their buying of Russian oil. According to Bloomberg, refiners were cautious as they did not want to complicate trade discussions with the US.
This decline in demand from India had forced Russia to look for more buyers in China.
But the situation has changed due to the conflict in the Middle East. The fighting involving Iran and the effective closure of the Strait of Hormuz have raised fears of oil supply disruptions.
With concerns growing about possible shortages, refiners in India now appear to be turning again to Russian barrels to secure supply, Bloomberg said.
There are signs that more oil cargoes may follow the same route shift.
Another tanker named Indri, which is a Suezmax vessel currently sailing in the Arabian Sea, had earlier signalled Singapore as its destination. However, ship tracking data show that the vessel made a sharp turn north this week and is now heading toward India.
Indri is carrying about 730,000 barrels of Urals crude.
Bloomberg reported that this change in direction suggests more Russian oil shipments may be redirected to India in the coming days if supply concerns in the Middle East continue.
All three vessels involved in these shipments — Odune, Matari and Indri — were sanctioned by the United Kingdom and the European Union last year.
Odune is managed by Global Ship Solutions LLC, a company based in Azerbaijan. The firm is listed as the ship’s manager in the maritime database Equasis. Bloomberg reported that the company did not immediately respond to an emailed request seeking comment. The tanker’s owner, Sylvarn Fleetline Ltd, which is based in Hong Kong, also had no contact details available.
Matari is managed by Anchor Elite Shipmanagement, another company registered in Azerbaijan. Bloomberg said the firm also did not respond to an emailed request for comment. Contact details for the vessel’s owner, Oasis Bloom Corp, could not be found.
For the third tanker, Indri, there were no email or telephone details available for its Hong Kong-based owner Veyronda Seaborne Ltd. Its manager, Stellar Ship Solutions LLC in Azerbaijan, also could not be reached for comment.
According to Bloomberg, the redirection of these shipments shows how global oil flows are adjusting quickly as the Middle East conflict threatens key supply routes and raises concerns about shortages.
