India remains a major purchaser of Russian crude, showing no signs of letting up on buys despite the ongoing U.S. sanctions on major Russian producers. Current data indicates that the imports in December are expected to average 1.85 million barrels a day, slightly higher than the 1.83 million barrels a day imported in November, according to commodity analyst Kepler. This will mark India's highest monthly import volume in six months. The previous peak was 2.1 million barrels a day recorded in June.
U.S. sanctions on Lukoil and Rosneft were part of the tightening noose on Moscow over its war in Ukraine. Many expected India's oil imports from Russia to decline. But available figures show no reduction. According to Kepler's estimates, Russian crude arriving at Vadinar in Gujarat will average 658,000 b/d in December, against 561,000 b/d in November and well above the 431,000 b/d average in 2025. The Nayara Energy refinery in Vadinar runs at about 405,000 b/d. Rosneft has a 49.13% stake in the company.
Reports indicate that Nayara Energy is stockpiling supplies of Russian crude before the eventual easing of sanctions on refined products, but Reliance Industries is cutting its Russian oil imports. The latter imported 552,000 barrels per day in November, while it will cut back to 293,000 barrels a day this month. Reliance's move was after additional U.S. and EU curbs. However, domestic oil companies are on track to import 904,000 barrels a day, indicating that U.S. sanctions have yet to dent India's overall import volume significantly. China also kept its Russian oil purchases unchanged.
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