BPCL Diversifies Crude Sourcing Amid Russian Oil Uncertainty
BPCL explores new crude sources amid uncertainty over Russian oil supplies and Strait of Hormuz tensions. The company's Chairman and Managing Director, Sanjay Khanna, warned that a disruption to these supplies would pose a significant challenge for Indian oil companies.
The US Senate recently passed the Russia Sanctions Bill, which could impose tariffs of up to 100% on India and other top crude buyers from Russia. As a result, BPCL is diversifying its crude sourcing, looking at new suppliers from various geographies.
BPCL currently procures around 35-45% of its crude from Russia, making it vulnerable to any disruption in supplies. The company's immediate supply position appears stable, supported by its diversification efforts and existing contracts with suppliers such as Venezuela and Angola.