New Delhi, May 18 (IANS) India has been buying Russian oil regardless of US sanctions or waivers and will continue to do so based on commercial viability and the country’s energy security needs, a senior Petroleum Ministry official said on Monday.

“Regarding the American waiver on Russia, I would like to emphasise that we have been purchasing oil from Russia earlier… before waiver also, during waiver also, and now also,” Joint Secretary Sujata Sharma told reporters at a media briefing.

India’s crude sourcing decisions were driven primarily by commercial considerations and adequate supply availability, she stressed.

“It is basically the commercial sense which should be there for us to purchase,” she said, adding that there was no shortage of crude supplies and enough volumes had been tied up through long-term arrangements.

The temporary US sanctions waiver for the sale and delivery of Russian seaborne crude expired on May 16, making it the second time that the Trump administration has allowed the relief measure to lapse without clarifying the extension of the deadline.

The general licence, first issued by the US Treasury Department in mid-March and extended in April, was meant to ease pressure in global energy markets and bring down soaring crude prices amid the ongoing Iran war.

“Whatever waiver or no waiver, it will not affect,” Sharma said on India’s decision.

India, the world’s third-largest importer of oil, sharply increased purchases of Russian oil to take advantage of lower prices, helping domestic refiners manage elevated global energy costs.

In recent months, the US sanctioned certain Russian entities, including its largest crude oil suppliers — Rosneft and Lukoil, as well as ships and financial channels. This led to a brief moderation in purchases last year, but the waivers led to Indian refiners stepping up purchases again.

Russian oil imports into India are expected to average close to near record levels at 1.9 million barrels per day in May, according to data from Kpler. The figures include shipments covered under the temporary US sanctions waiver that has since expired over the weekend.

The purchase of Russian crude is taking place at a time when the prices of benchmark Brent crude have shot past $100 per barrel. India’s purchase of Russian oil has, in fact, helped to cool down runaway prices in the global market by easing the pressure on overall demand for oil.

Analysts said India is unlikely to move away from Russian crude in the near term. More documentation and tighter screening are expected rather than a structural shift in sourcing.

–IANS

sps/vd