Russia stands by India in energy crisis

India is facing a crisis of energy supply disruption due to the conflict in the Middle East. Russia is ready to provide oil to compensate the country. An industry source with direct knowledge of the matter said that about 9.5 million barrels of Russian crude oil tankers are currently near Indian waters and they can reach ports within a few weeks.

The source declined to reveal where the ships, owned by foreign countries, were originally going, but said that they could ensure supplies to India within a few weeks, which would provide immediate relief to refineries.

India is currently at risk of a supply crisis, as the country's crude oil reserves can meet only 25 days of demand. Similarly, the country's refineries also have limited stocks of gasoline and LPG.

The source added that the disruption has had an immediate impact on the market, as about 40 percent of India's crude oil imports come through the world's most important oil export route, the Strait of Hormuz. With the route almost closed, the world's third-largest oil consumer (India) has been forced to look for alternatives.

According to industry data, Russian oil imports fell to about 1.1 million barrels per day in January due to New Delhi's efforts to avoid US tariffs, the lowest since November 2022. However, the source said that the rate of imports has now increased to about 30 percent.

Source: Reuters.