Indian Oil Corporation Limited has entered into an agreement with a Russian oil company that will allow the former to import 3 million barrels of crude oil, according to ndtv.com. Sources were quoted by ndtv.com as saying it's a company-to-company deal.
Despite sanctions on Rusia by the West, amid Moscow's attack on Ukraine, "there are no restrictions on Indian oil companies for buying crude oil from Russian oil companies," the wesbite added.
Meanwhile, India's oil imports from the United States will rise by 11% this year, officials said on Saturday, as the severely energy-deficient country looks to secure supplies from producers around the world, including heavily sanctioned Russia. The surge in oil prices following Russia's invasion of Ukraine last month threatens to fan Indian inflation, stretch public finances and hurt growth just when it was emerging from a pandemic-induced slowdown.
New Delhi faces criticism from the West for its long-standing political and security ties with Moscow, with some saying that engaging in business with Russia will help fund its war. India has urged an end to the violence in Ukraine but abstained from voting against Russia.
Government sources had said on Friday that India's energy transactions should not be given a political colour The US reacting to it said, "India importing discohaunted crude oil from Russia wouldn't amount to a violation of sanctions; it would imply supporting the Russian invasion of Ukraine."
Asked about the possibility of New Delhi accepting the Russian offer of discounted crude oil, White House Press Secretary Jen Psaki had said, "I don't believe this would be violating that (sanctions)."
"But also think about where you want to stand when history books are written at this moment in time. Support for the Russian leadership is support for an invasion that obviously is having a devastating impact," Ms Psaki had added.
According to sources, the import deal with the Russian oil company is on best conditions in the international market. In fact sources added that there were no restrictions on Indian oil firms in buying crude from Russian companies.
