New Delhi: Russian military operations in Ukraine have led to economic sanctions from the West, including a major ban on Russian energy imports. The purchase of Russian oil has become one of the most debated issues amid the ongoing conflict.
US President Biden, in close consultation with his allies and partners around the world, had banned imports of Russian oil, natural gas and coal into the US. Australia, Britain, Canada have also stopped buying Russian oil but the EU is divided.
Read also: US imposes new sanctions on Putin’s daughter, top Russian bank over Moscow’s ‘war crimes’ in Ukraine
Meanwhile, refiners in India, the world’s third-largest oil importer and consumer, have been buying Russian oil through spot tenders since the war broke out on February 24, as other buyers are taking advantage of deep discounts.
India has booked at least 16 million barrels of Russian oil since the invasion, which is close to its import levels for all of 2021, Reuters calculations show.
On the other hand, the White House has reiterated that it is not in India’s interest to increase its imports of energy from Russia and that the Biden administration is ready to work with New Delhi to help.
Know the stand of other countries on Russian oil imports
The 27 members of the EU bloc did not explicitly reach any decision on the embargo, with Germany worried about any hasty decisions that could push the economy into recession, and some countries, such as Hungary, did not agree to any oppose the ban, according to Reuters.
However, according to Reuters sources, Germany aims to eliminate Russian oil imports by the end of this year along with Poland.
Many buyers in Europe are voluntarily giving up Russian crude to avoid damage to reputation or face potential legal difficulties.
China’s state refiners, such as Sinopec, are sticking to existing Russian oil contracts but are not singling out new contracts despite heavy discounts to avoid openly backing Moscow.
Know Current and Former Buyers of Russian Crude
current buyer
Bharat Petroleum
Indian state-run refiner Bharat Petroleum Corp Ltd has purchased 2 million barrels of Russian Ural from merchant Trafigura for May loading, which is how it is called. The company is buying Russian Urals for its 310,000 barrels per day (bpd) Kochi refinery in South India.
Hindustan Petroleum
According to agency sources, India’s state refiner bought 2 million barrels of Russian Urals for May loading.
Indian Oil Corporation (IOC)
India’s top refiner bought 3 million barrels of Ural for May delivery from Vitol on March 23, according to sources. This is the second purchase of the Urals by the IOC since the invasion.
Under its contract with Rosneft, the company has the option to buy up to 2 million tons in 2022, equivalent to about 15 million barrels of Ural crude.
Naira Energy
The Indian private refiner, owned by Russia’s Rosneft, has bought Russian oil after a year-long hiatus, buying nearly 1.8 million barrels of Ural from trader Trafigura.
Hellenic Petroleum
Greece’s largest oil refiner depends on Russian crude for about 15% of its consumption. The company had secured additional supplies from Saudi Arabia earlier this month.
isab
Italy’s largest refinery, owned by Lukoil-controlled Swiss-based Litasco SA, processes Russian and non-Russian crudes.
Luna
The land-locked Liuna refinery in East Germany, majority-owned by Total Energies, is also taking advantage of Russian crude via the Druzhba pipeline.
Mangalore Refinery and Petrochemicals (MRPL.NS)
The state-run Indian refiner has bought 1 million barrels of Russian Ural crude for May loading through a tender from a European trader, a rare purchase prompted by a discount offer.
miro
Germany’s largest refinery, Miro, accounts for about 14% of Russian crude oil consumption, with Rosneft owned 24%.
Acquire
Hungarian Oil Group, which has three refineries in Croatia, Hungary and Slovakia, is still procuring Russian crude through the Druzhba pipeline, as well as refined products. Hungary opposes sanctions on Russian oil and gas.
neftochim burgas
The Bulgarian refinery, owned by Russia’s Lukoil, and continues to refine Russian crude, accounts for about 60 percent of Russian crude consumption.
PCK Shredded
Germany’s PCK Schweidt refinery, 54 percent owned by Rosneft, receives crude through the Druzhba pipeline.
pertamina
Indonesian state energy firm PT Pertamina is looking to buy crude from Russia as it needs oil for a new refinery.
pkn orlen
Poland’s biggest refiner has stopped buying Russian crude on the spot market, switching to North Sea oil, but is still buying the Urals under already signed contracts that expire at the end of this year or later. are happening.
The company, which operates refineries in Lithuania, Poland and the Czech Republic, saw its gains from the refining boom in March due to discounts paid for Russian oil.
sinopec
China’s state-run Sinopec, Asia’s biggest refiner, continues to purchase Russian crude under long-term contracts already signed, but shied away from new spot deals. read more
former buyer
bp
The British oil major, which is giving up its stake in Rosneft, will not enter into new deals with Russian entities for loading at Russian ports unless it is “necessary to ensure the security of supplies”.
anise
Japan’s biggest refiner has stopped buying crude from Russia, while some cargoes signed under previous agreements will reach Japan around April.
ENI
Energy Group, 30.3% owned by the Italian government, is suspending purchases of Russian oil.
No Russian crude will be used at Germany’s Bayernoil refinery, in which Eni and Rosneft have stakes.
Equinor
Norway’s majority state-owned energy firm has stopped trading Russian oil as it shuts down its operations in the country. read more
fiction
The Portuguese Oil and Gas Company has suspended all new purchases of petroleum products from Russia or Russian companies.
Glencore
The global mining and trading firm, which holds a 0.57% stake in Rosneft, said it would continue to honor its obligations under already signed contracts, but “will not enter into any new trading business in relation to Russian origin goods, unless directed by the concerned Govt. authorities”.
In this
The Finnish refiner has Russian oil contracts until the end of the year, but is not signing any new supply agreements. read more
prem
Sweden’s biggest refiner, owned by Saudi billionaire Mohammed Hussein al-Amoudi, has “paused” new orders for Russian crude, which account for about 7% of its purchases, replacing them with North Sea barrels.
Repsol
The Spanish company has stopped buying Russian crude oil in the spot market.
oyster
The world’s largest petroleum trader will stop buying Russian crude and end its connections in all Russian hydrocarbons.
total energy
The French oil major will not sign new contracts to buy Russian crude and petroleum products until the end of this year.
Waro Energy
The Swiss refiner, which holds a 51.4 per cent stake in Germany’s Bayernoil refinery, said it did not plan to enter into new deals to buy Russian crude.
(compiled from Reuters)