Reliance Continues Rosneft Oil Imports After U.S. Grants Temporary Sanctions Concession
India’s Reliance Industries Ltd continues to receive crude oil cargoes from Russia’s Rosneft after securing a one-month special concession from Washington, according to sources familiar with the matter. The permission, not previously reported, comes after the United States imposed sanctions in October on Rosneft and Lukoil, allowing companies time until November 21 to wind down transactions.
Reliance has a long-term agreement with Rosneft to purchase about 500,000 barrels per day of Russian crude for its 1.4 million bpd refining complex, the world’s largest. Since November 22, the company has received roughly 15 cargoes of Russian oil supplied by Rosneft, according to data from Kpler. Reliance said these shipments were part of “pre-existing transactions” being concluded in compliance with sanctions. The U.S. Treasury declined to comment on the concession.
Separately, the European Union has announced it will not accept fuel produced at refineries that processed Russian oil within 60 days prior to shipment, starting January 21. Reliance said it loaded its final cargo under the Rosneft deal on November 12 and will process subsequent Russian oil at its India-focused refinery to maintain EU fuel exports from its export-oriented unit. India, the world’s largest buyer of seaborne Russian crude, is expected to see imports ease to about 1.2–1.5 million bpd in December, down from 1.77 million bpd in November.
Pic Courtesy: google/ images are subject to copyright
