Crude oil: After 7 years, India may receive first vessel from Iran on April 4
Virendra Pandit
New Delhi: With the US allowing a 30-day window for buyers of Iranian oil “on the water”, India is expected to receive the first crude oil vessel from Iran this week after seven years, the media reported on Wednesday.
The tanker left Kharg Island around March 4, with a declared ETA to reach Vadinar, Gujarat, on April 4, Marine Traffic said.
This is the first crude oil cargo “since May 2019”, following sanctions being re-imposed on Iranian oil by the first Donald Trump administration, according to a BusinessLine report.
India, the world’s third largest crude importer, is making use of the 30-day window offered by the United States.
Global data and analytics provider Kpler’s Marine Traffic informed the leading business newspaper that an Aframax, Ping Shun (IMO 9231901), loaded with approximately 600,000 barrels of Iranian crude oil from Kharg Island in early March, has emerged as the first vessel observed signalling a destination of Vadinar (Gujarat) in India.
It was not immediately clear, however, which refiner has contacted the Iranian crude oil cargo.
Vadinar is home to the 405,000 barrels per day (b/d) refinery, which is owned and operated by Russia’s Rosneft-backed Nayara Energy. However, the Iranian cargo is not set for Nayara as its refinery is going into a 35-day maintenance drill from April 1-2.
Amid the ongoing conflict in West Asia triggering oil price volatilities, the US had administration had temporarily lifted sanctions for 30 days for Iranian oil on the water, loaded before March 20, Sumit Ritolia, Kpler’s Lead Research Analyst for Refining & Modeling, was quoted as saying.
“The Indo-Iranian oil trade has flickered back to life. The vessel Ping Shun is now en route to Vadinar with 600,000 barrels of crude. This comes at a critical time for Indian refiners facing tightening inventories,” he added.
