Bloomberg: India turns back to Russian crude as Hormuz disruptions loom

Two tankers carrying Russian crude that had initially signalled East Asia as their destination have redirected their cargoes to India, according to ship-tracking data, indicating that New Delhi may be becoming more willing to accept the oil as the conflict in the Middle East intensifies.

Data from Kpler and Vortexa, cited by Bloomberg, show that the two vessels are transporting a combined 1.4 million barrels of Russia’s Urals crude and are now expected to unload at Indian ports this week. Urals, which is exported from Russia’s Baltic and Black Sea ports, was previously a key supply source for Indian refiners. However, shipments to India have dropped sharply this year amid US pressure on New Delhi to curb purchases of Russian oil.

One of the tankers, the Suezmax vessel Odune, carrying about 730,000 barrels of Urals crude, arrived on Wednesday at the port of Paradip on India’s eastern coast, according to ship-tracking data and port agent reports. It was not immediately clear whether the cargo had been discharged.

A second tanker, the Aframax Matari, transporting more than 700,000 barrels, is expected to reach Vadinar on India’s western coast on March 5.

In recent weeks, Indian refiners had reduced purchases of Russian crude, partly to avoid complicating ongoing trade negotiations with Washington. The slowdown in demand forced Moscow to redirect shipments toward Chinese buyers.

However, the worsening conflict in the Middle East and the effective closure of the Strait of Hormuz have raised concerns about potential oil supply disruptions. As a result, Indian refiners appear to be reconsidering Russian crude as a source of supply.

Further changes in shipping routes may follow. Another Suezmax tanker, Indri, currently in the Arabian Sea and carrying about 730,000 barrels of Urals crude, had been signaling Singapore as its destination but made a sharp turn north toward India earlier this week, according to vessel-tracking data.

All three vessels — Odune, Matari and Indri — were sanctioned last year by the United Kingdom and the European Union.

By Tamilla Hasanova