Reliance Industries Refutes Claims of Purchasing Iranian Oil
Reliance's Firm Denial of Iranian Oil Purchase
Reliance Industries Limited has firmly rejected allegations regarding its acquisition of Iranian oil, labeling these claims as "baseless." In an official statement addressing the rumors, the company asserted, "Reliance Industries Limited categorically denies recent media reports suggesting that it has procured crude oil of Iranian origin. These assertions are misleading and incorrect." This response follows a report from a news agency indicating that the company had acquired 5 million barrels of Iranian crude oil shortly after the temporary lifting of sanctions by the United States under President Donald Trump. The crude was reportedly priced at a premium of approximately $7 per barrel compared to ICE Brent futures. However, the timeline for the delivery of this oil remains unclear, according to the news agency.
On Friday, the US government announced a 30-day sanctions waiver for Iranian oil already in transit, which applies to oil loaded on any vessel, including sanctioned tankers, before March 20 and discharged by April 19. In May 2019, India halted oil imports from Iran following the reimposition of sanctions by the US on Tehran.
A report from Bloomberg has indicated that state-run refiners in India are hesitant to source Iranian crude due to concerns over operational, financial, and regulatory challenges that may outweigh any immediate advantages. In a related update, the Indian government has assured that the nation has secured crude oil supplies for the next 60 days, with increased purchases from Western sources compensating for any potential disruptions caused by the closure of the Strait of Hormuz. "Despite the current situation at the Strait of Hormuz, India is now receiving more crude oil from over 41 suppliers worldwide than it previously obtained through the Straits. The high volumes available in international markets, particularly from the western hemisphere, have effectively compensated for any supply interruptions," the government stated.