According to a Reuters report, Indian refineries have already secured sufficient crude oil inventories to meet demand at least until August, while liquefied petroleum gas (LPG) supplies are expected to remain stable until mid-July. The development comes amid heightened geopolitical uncertainty and concerns over potential disruptions in global energy flows.
Sources indicate that Indian refining companies have significantly increased their stockpiles of crude oil and LPG for the coming weeks, ensuring operational stability despite the volatility. While crude oil reserves are adequate to meet demand through August, LPG availability is expected to remain uninterrupted until at least mid-July.
Indian companies have recently expanded procurement from Abu Dhabi National Oil Company (ADNOC) and other international suppliers. A refinery source stated, “In the case of LPG, we are secure at least until mid-July, and there is no issue regarding crude oil supplies.”
According to officials, Indian refineries are actively sourcing crude oil and LPG cargoes from ADNOC through ship-to-ship transfer mechanisms. ADNOC is supplying crude oil through its storage infrastructure located at Fujairah, Zirku, and Das Island, as well as via transfers in the Fujairah–Sohar corridor and Malaysia. Most LPG shipments are being sourced from Sohar.
Hindustan Petroleum Corporation Limited has purchased 4 million barrels of crude oil from the United Arab Emirates for delivery in August. The company had also recently acquired 2 million barrels of crude oil from Brazil and West Africa, which will be processed at its refinery in Rajasthan.
Meanwhile, Indian Oil Corporation and Mangalore Refinery and Petrochemicals Limited have also relied on spot tenders in recent weeks to secure additional crude oil supplies.
The proactive accumulation of energy reserves by Indian refiners underscores an effort to shield domestic supply chains from geopolitical shocks, even as tensions in West Asia continue to threaten global oil stability.
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