New Delhi: Indian Oil Corporation (IOC) is being careful and has not signed any new deals for Russian oil since the new US sanctions were introduced earlier this month. Chairman Arvindar Singh Sahney explained that the company is waiting for a “clean” offer, where all parts of the supply chain are not affected by the sanctions.
Sahney also mentioned that oil prices are expected to stay steady, ranging between $75 and $80 per barrel this year. He believes that actions by US President Donald Trump will not immediately disrupt global oil supplies, so prices are likely to stay stable for now.
“We are being cautious right now and have paused our plans,” Sahney said. He added that IOC is carefully looking for Russian crude in the spot market. Since January 10, the company has not made any new contracts for Russian oil, as it has not yet found a deal where shipping, insurance, and other factors are free from sanctions.
Due to the sanctions, the amount of Russian oil in IOC’s total oil supply will likely decrease. Sahney pointed out that many companies are now facing sanctions, which affects the availability of Russian oil. Despite this, IOC is still looking for the best options while staying flexible in its oil sourcing strategy.
