BPCL buys 10 mn barrels of US crude oil through five-month tender

Business Standard

a day ago

India's state-run Bharat Petroleum Corp has awarded a five-month tender for 10 million barrels of U.S. oil to European trader Glencore, two people with knowledge of the matter said, aiding India's efforts to deepen energy ties with Washington.
India, the world's third-largest oil importer, is increasing imports from the United States as negotiations for a bilateral trade agreement continue.
Under the deal, Glencore will deliver 2 million barrels of WTI Midland crude per month from November to March to the Indian refiner, the sources said, doubling the volume BPCL imported under its previous tender.
Indian refiners and traders do not comment on oil trade issues citing confidentiality.
The increased imports are expected to support India's efforts to narrow its trade surplus with the U.S., which stood at $45.7 billion last year.
Trade tensions between India and the United States have escalated sharply in the last few weeks, with U.S. President Donald Trump imposing a 25% tariff on Indian goods starting August 7 and threatening similar measures over the Asian country's continued purchases of Russian oil.
During Prime Minister Narendra Modi's visit to Washington in February, India pledged to raise U.S. energy purchases from $10 billion to $25 billion, with both nations targeting $500 billion in bilateral trade by 2030.
Indian refiners have already increased imports of U.S. oil from the spot markets on improved arbitrage economics of sending Atlantic Basin grades to Asia.
Refiners also plan to raise imports of cooking gas from the U.S. from 2026, while the federal government is looking at eliminating import tax on propane and liquefied natural gas purchases from the U.S.
(Reporting by Nidhi Verma; Editing by Tomasz Janowski and Rachna Uppal)