Indian Oil Firm Nayara Energy Emerges as Russia's Unconventional Crude Source Amidst Ongoing Conflict
Amidst persistent Ukrainian attacks on Russian oil facilities, causing a severe fuel crisis in the country, an Indian oil company, Nayara Energy, has reportedly been exporting petroleum to Russia.
By Global Focus Wire Desk

Amidst persistent Ukrainian attacks on Russian oil facilities, causing a severe fuel crisis in the country, an Indian oil company, Nayara Energy, has reportedly been exporting petroleum to Russia. On Wednesday, industry sources informed Reuters that approximately 60,000 metric tonnes of petrol were dispatched from India to Russia, with two oil tankers carrying 30,000 to 40,000 tonnes each. Sources further revealed that the gasoline was produced by Nayara Energy and sold to Russia via traders. Although Nayara has not confirmed this, Indian Oil Minister Hardeep Singh Puri stated that while Indian companies are not directly selling fuel to Russia, it is possible that Russia acquired Indian-origin fuel through international traders. In the past few months, Ukrainian forces have repeatedly targeted Russian oil facilities, leading to prolonged fuel queues across the country, including in Moscow. This unprecedented crisis in a major global energy producer has resulted in rationing in many regions. Since March, there have been over 50 reported attacks on Russian oil refineries, depots, terminals, and other energy infrastructure by Ukraine, according to The Associated Press. Attacks have also been documented in the Crimean peninsula, illegally annexed by Russia in 2014. Nayara Energy operates India's second-largest private oil refinery in Vadinar, Gujarat, with a daily processing capacity of 400,000 barrels of crude oil. The company purchased the refinery from Essar in 2015 when the Indian firm was financially struggling. The transaction was part of a complex arrangement involving both government and private entities, initiated by Prime Minister Narendra Modi and Russian President Vladimir Putin. Nayara Energy is believed to be dependent on discounted Russian oil, importing crude through traders. In July last year, the European Union imposed sanctions on Nayara, banning the import of petroleum products processed using Russian crude oil and restricting the refinery's access to EU shipping insurance, financial services, and other resources. The EU's sanctions against Nayara are part of a broader package targeting Russian oil, as Russia's refineries have relied on Nayara for continued operations since other suppliers withdrew following the sanctions. Since then, Nayara has been importing crude and exporting refined fuels through international traders. Recent data shows that India's crude oil imports from Russia reached a record high in June, as European markets have become crucial for Indian exporters due to the ongoing Ukraine conflict. The increased dependence on Russian oil is partly attributed to US President Donald Trump's decision to waive US sanctions on already loaded Russian oil ships, aiming to alleviate fuel shortages caused by the closure of the Strait of Hormuz during the war with Iran.
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