“Beyond this strategic storage of crude oil, Indian oil marketing companies have procured at March/April prices of crude oil of about 8.5 million tons [62 million barrels], which is in the floating storage on vessels,” he added. As a result, about 20% of India’s annual crude oil demand has been procured at cheaper crude prices,” the minister added. India, which is the world’s third largest energy consumer after the US and China, imports more than 80% of the crude oil it processes.According to the oil ministry’s data-keeper, Petroleum Planning and Analysis Cell (PPAC), India had imported 227 MMT crude oil in 2019-20 worth $101.4 billion. The official said there had been a here a “small window” for purchase of crude oil as in bulk crude oil prices had started soaring after mid-May. Officials said international oil prices started rising after the last deal was closed.

Source: Hindustan Times June 11, 2020 01:36 UTC