BPCL buys Upper Zakum crude to replace Russian supplies after US sanctions

India's Bharat Petroleum Corp has bought crude oil from Abu Dhabi in a spot tender to replace oil from Russia after the U.S. sanctioned two major Russian producers, two trade sources said on Monday.

The Indian refiner purchased 2 million barrels of Upper Zakum crude for loading in December, they said.

One of the sources said ADNOC Trading will supply the cargo.

Washington last week imposed sanctions on Rosneft and Lukoil, Russia's two largest oil companies, stepping up efforts to pressure President Vladimir Putin to end the war in Ukraine.

A BPCL source said last week that the company would buy Russian oil only from non-sanctioned entities.

 

BPCL buys 2 million metric tons (14.66 million barrels) of oil from the spot market monthly, most of which is Russian. For half of this supply, it hopes to keep buying Russian oil from non-sanctioned entities, the source said, adding that the rest will be non-Russian oil purchased from the spot market.