Bharat Petroleum Corp (BPCL), an Indian state refiner, is set to issue a four-month tender next week to purchase U.S. West Texas Intermediate (WTI) crude oil. This move aims to secure cheaper oil from the top oil-producing nation.
BPCL plans to acquire one million barrels of WTI each month, starting in May or June, for the duration of four months.
Last year, BPCL made a similar purchase through a tender awarded to BP, a major European oil company.
BPCL typically sources U.S. oil for its three refineries, which can handle up to 706,000 barrels of crude daily. In February, India’s imports of U.S. oil reached their highest level in over two years. This surge happened as Indian refiners sought new supplies due to stricter U.S. sanctions on Russian oil producers and shippers.
India plans to increase its energy imports from the U.S. to around $25 billion, up from $15 billion last year. In February, the U.S. exported approximately 357,000 barrels per day (bpd) of crude to India, marking a significant rise from about 221,000 bpd the previous year. This makes India the world’s third-largest oil importer and consumer.
