India confirms Iranian crude supply secure; no payment hurdles, ministry says
India confirms Iranian crude supply secure; no payment hurdles, ministry says
India's oil ministry refutes diversion rumors, assuring refiners are sourcing Iranian crude with no payment barriers amid global disruptions.
The Ministry of Petroleum and Natural Gas on Saturday dismissed reports that an Iranian crude oil tanker heading to India was diverted to China because of payment issues, clarifying that Indian refiners are indeed securing Iranian crude oil and there are no payment hurdles.
The ministry emphasized that refiners have full flexibility to source oil from different sources and geographies based on commercial considerations. In a global oil market shaped by Middle-East supply disruptions, India imports crude from more than 40 countries, and procurement decisions are driven by optimization and reliability rather than any single payment constraint.
The Aframax tanker Ping Shun had been signaling Vadinar in Gujarat as its destination, but recent data showed it changing course toward China. Officials noted that such mid-voyage destination changes are common in oil trade, as bills of lading often indicate tentative discharge ports and on-sea cargoes can be rerouted for operational and commercial reasons.
The ministry also pointed to recent sanctions waivers by the United States that allow the sale of Iranian oil at sea, a factor that continues to shape how global buyers, including India, manage Iranian supplies. While concrete purchase quantities are not disclosed, the government stressed that Indian refiners have secured their energy needs, including Iranian cargoes, with no payment hurdles.
In sum, the ministry underscored that diversions and destination signals in oil shipments reflect standard trade practice rather than indicating a payment problem, and India remains committed to a diversified, secure energy mix.
