India's State Refiners Secure Spot Market Crude Amid Middle East Supply Choke

State-owned refiners in India are scrambling to secure alternative crude supplies due to concerns that cargoes booked from Saudi Arabia and Iraq may not arrive on time. According to people familiar with the matter, Indian Oil Corp., Bharat Petroleum Corp., and Hindustan Petroleum Corp. have purchased additional oil from the spot market to mitigate potential disruptions. This move comes as India's state refiners are racing against the clock to secure crude supplies amidst concerns that shipments may be delayed or cancelled.

The refiners' decision to buy extra oil is aimed at preparing for potential disruptions in the supply chain, which could impact their operations and meet demand. The spot market purchase is a precautionary measure taken by the refiners to ensure a steady flow of crude supplies despite the uncertainty surrounding Middle East flows. Although the exact timing of the delayed or cancelled shipments from Saudi Arabia and Iraq is unclear, the state-owned refiners are taking no chances.