2 days ago
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The stock of Russian crude lipid successful Bharat Petroleum’s wide handbasket has accrued to astir 40-41% from astir 31% during quarter-ended March 2026, Vetsa Ramakrishna Gupta, Director for Finance of the state-owned oil-marketing company, told investors successful an expert telephone connected Wednesday (May 20, 2026).
Mr. Gupta attributed the accrued quantum of Russian crude besides to its greater availability successful the spot market.
“Percentage of Russian [crude] cargo has decidedly gone up. It was 31% successful the 4th fourth (of FY 2025-26), but successful the existent period, astir of the proviso connected a spot basis, Russian crude is much available; therefore, offtake is higher astatine astir 40-41%,” Mr. Gupta told investors.
According to the elder executive, Russian crude constituted astir 25% of the wide handbasket successful the 3rd 4th of the erstwhile fiscal year.
Responding to a query astir the interaction of U.S. sanctions, Mr. Gupta explained that, alternatively than Russian crude being sanctioned, definite entities were sanctioned. He maintained that BPCL made its purchases lone from non-sanctioned entities.
“During the waiver you could bargain Russian crude from immoderate party, and with the lapse of waiver you tin lone bargain from non-sanctioned entities,” helium stated. “Whatever Russian crude we bargain is ever from non-sanctioned entities, beryllium it the cargo vessel, larboard oregon supplies – those should beryllium non-sanctioned entities.”
‘Crude supplies secured till July this year’
Overall, the authoritative said that it has secured crude lipid proviso until July this year.
“We person diversified to 8 caller grades of crude [oil] during the year, covering 4 geographical regions,” helium stated. “I would besides similar to guarantee that crude supplies person been secured till July 2026.”
Elaborating connected the diversification, Mr. Gupta told analysts that Bharat Petroleum tested varied grades of crude successful the erstwhile fiscal year, including those from North America and Middle East spot cargoes.
“WTI is 1 destination we person tried, [alongside] Venezuelan crude we person besides tried, and Middle Eastern spot grades are besides available, similar Murban, among others,” helium stated. “Last year, we [also] tested caller grades, that is, Venezuelan, Brazil and Angola. In spot galore of the grades are disposable but large root continues to beryllium Russia.”
Higher landed cost
In effect to a query astir landing costs considering the elevated freight and security costs, Mr. Gupta stated that they were indicatively higher by astir $12 for each barrel, though adding that they are dynamic and alteration regularly.
“It [the landing cost-led premium] each depends connected which root we instrumentality crude from but indicatively, successful today’s day if you privation to finalise immoderate deal, if brent crude is $110 per barrel, possibly our landing [cost] would beryllium astir $120-122 per tube though it is perpetually changing,” helium stated.
Separately, the elder enforcement told investors earlier the war, the further outgo for WTI crude utilized to beryllium “brent positive $4-5” which escalated to astir “$20 astatine the highest of the war”.
