Crude imports from US rebound as Russia sanctions get tighter

Even as Russia and West Asia have been slugging it out for market share in India to sell their crude oil, the US is quietly making its moves on the sidelines.

- S DINAKAR

The US has doubled its share of the Indian crude market in the past few months, according to industry sources and ship-tracking data.

Some of the increase in America's market share may have come at the expense of Russia, India's biggest crude oil supplier, said industry sources.

India may have bought over $1 billion of US oil in August, according to calculations by Business Standard based on ship-tracking data and June-delivered prices from Indian Customs. The US this year targeted Russian light, low-sulphur grades, also called sweet crudes, which are priced at a premium compared to dirtier grades, with sanctions, prompting Indian refiners to seek similar grades elsewhere, mainly from America, refining officials said. For instance, supplies of US WTI Midland, a light, low-sulphur grade, increased by 24 per cent this year to 128,000 barrels per day (bpd) from a year earlier.