West Asia war: Indian refiners turn to Venezuela, Russia for oil supply

India has also ramped up oil purchases from alternate sources such as Nigeria and Angola

Indian refiners are increasingly turning to Russia and Venezuela for supplies of crude oil in April amid persistent tension in West Asia, which has limited flows from traditional suppliers such as Saudi Arabia and Iraq.

 

The country has purchased maximum quantities of crude oil from Russia and Venezuela in the first six days of April at 659,000 barrels per day (bpd) and 612,000 bpd, respectively, according to data from ship tracking firm Kpler. Crude oil loadings, or purchases, reflect volumes which are headed to India from the country of origin, but the same might change in the coming days as voyage becomes clearer.

 

Both Russia and Venezuela are secure supply options for India, as shipments from these countries do not rely on the Strait of Hormuz, a key chokepoint through which 20 per cent of global crude oil transits.

 

Since the beginning of the conflict in West Asia, Indian refiners have increased Russian oil purchases after the US issued a 30-day waiver, which expires of April 11, allowing countries to buy crude oil and petroleum products from Moscow. These purchases are currently stranded at sea.

 

Meanwhile, India is also boosting oil purchases from Venezuela, after last receiving a crude oil cargo from the latter in May 2025, said Kpler. Before the US had imposed sanctions on Caracas in 2019, Reliance Industries Ltd (RIL) and Russia-backed Nayara Energy were the top Indian buyers of Venezuelan crude oil.

 

Higher purchases from Russia and Venezuela have come at the expense of supplies from West Asia, which have been disrupted by tensions in the region. India sources around 40 per cent of its crude oil imports through Strait of Hormuz, which is now under siege.

 

In April so far, India has bought 407,000 bpd of crude oil from the UAE and 314,000 bpd from Oman, while oil purchases have also been ramped up from alternative sources such as Nigeria and Angola at 343,000 bpd and 182,000 bpd, respectively. Meanwhile, no crude cargoes from India’s key traditional suppliers Saudi Arabia and Iraq are currently headed for the country.

 

To sustain petroleum product exports, Saudi Arabia and the UAE have increased shipments via routes that bypass the Strait of Hormuz.

 

In March, India’s crude oil imports from key West Asian suppliers such as Iraq, Saudi Arabia, and the UAE fell sharply due to disruptions in vessel movement through the Strait of Hormuz. Imports from Iraq declined by about 75 per cent, while supplies from Saudi Arabia dropped by around 43 per cent during the period.

 

Meanwhile, Iran has yet to allow a single carrier loaded with liquefied natural gas (LNG) to pass through the Strait of Hormuz in weeks of war, according to a Bloomberg report, exacerbating global shortages. Two tankers loaded with Qatari LNG appeared to be making an exit from the Persian Gulf on Monday, only to U-turn within hours, it added. 

War drives Russian crude to 13-yr high 

 

Russian crude prices rose to the highest in over 13 years as Moscow benefited from the Iran-linked global oil rally.

 

The country’s flagship Urals crude reached $116.05 a barrel on April 2 in Russia’s port of Primorsk, the biggest oil-export facility on the nation’s Baltic coast, according to data from Argus Media. 

 

The price, which doesn’t include shipping costs, is almost twice as high as the average $59 a barrel assumed in Russia’s budget for this year. Windfall oil revenues are easing pressure on the Kremlin’s finances as it continues its war in Ukraine. 

 

By the time Urals reaches India, it trades at a premium to Brent, which widened to $6.1 a barrel against $3.9 two weeks ago, the data shows.