Chicago – March 07, 2026
In a pragmatic move amid the escalating US-Israel-Iran war, the Trump administration has issued a temporary 30-day waiver allowing Indian refiners to purchase Russian crude oil cargoes stranded at sea, as announced by Treasury Secretary Scott Bessent. This “stop-gap measure” aims to stabilize global oil flows disrupted by threats to the Strait of Hormuz, through which 40% of India’s oil imports pass.
Indian state refiners like Indian Oil Corp, Bharat Petroleum, Hindustan Petroleum, and Mangalore Refinery have secured around 20 million barrels of prompt Russian Urals crude to offset Middle East supply shortages. However, Russia is offering no discounts—traders are selling Urals at a $4-5 per barrel premium to Brent for March-April deliveries at Indian ports, reversing February’s $13 discount amid surging demand.
The Kremlin hailed heightened demand for its energy, positioning Russia as a reliable supplier while oil prices climb, with Brent nearing $85. India holds 25 days of crude stocks but faces heightened energy security risks.
