Alternate suppliers: Indian refineries are testing oil from countries such as Venezuela and Angola
Indian refining companies are exploring various geographic regions, including Venezuela and Angola, in order to secure other sources of oil supply.
India’s refineries are increasing their search for alternative oil suppliers while also looking into other routes in response to a possible diversion of transport routes outside the Persian Gulf.
According to Energy World, Indian refining companies are testing oil from Venezuela and Angola to ensure supply of the hydrocarbon and as an alternative way to obtain new suppliers.
Vetsa Ramakrishna Gupta, the Chief Financial Officer of state-owned Bharat Petro, told the international outlet that they have diversified their oil supply sources outside the Strait of Hormuz.
“We have diversified our crude oil supply sources outside the Strait of Hormuz, exploring multiple geographic regions, including two new types of oil coming from Venezuela and Angola,” she emphasized.
It is important to note that global energy markets were “nervous” after attacks by Houthi rebels on Saudi vessels.
For his part, Hindustan Petroleum Corporation’s Managing Director, Vikas Kaushal, said that several types of oil became inaccessible because they are located on the other side of the Strait of Hormuz.
“We had to make decisions based on availability rather than optimization. At the beginning of the year, we always make a combination of forward and spot contracts. This time, in the first quarter, we barely generated revenue from our forward contracts because many of them were located on the other side of the Strait of Hormuz,” he said.
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