BPCL Secures Half of October Crude Oil Needs Amidst Global Supply Disruptions

BPCL, India's state-owned oil refining company, has secured up to 55% of its crude oil requirement for October. This is despite disruptions in global energy flows due to tensions in West Asia and the blockade of the Strait of Hormuz.

According to VRK Gupta, BPCL's Director (Finance), the company has completed its crude procurement for September and is sourcing nearly 60% of its oil supplies from the spot market. This is a result of the closure of the Strait of Hormuz, which has affected energy flows to India.

Gupta stated that the company takes two months in advance to plan its crude procurement, but it may take some more time for November and onwards. BPCL expects to secure the remaining volumes for October shortly and will have to wait until next week or later to open up opportunities for November and beyond.