Indian refineries are sharply pivoting from Russian crude oil to West African and other global suppliers, driven by geopolitical pressures and shifting trade dynamics. This shift follows warnings from former U.S. President Donald Trump threatening sanctions against India if it continued purchasing Russian oil—a stance that has reverberated across global energy markets. The move marks a reversal of India’s earlier reliance on discounted Russian barrels, which surged after the 2022 invasion of Ukraine but now faces mounting U.S. scrutiny.
According to Reuters, Indian Oil Corporation (IOC) recently secured one million barrels of Nigeria’s Agbami crude for September 2025 delivery through global trader Trafigura, alongside two million barrels of other Nigerian grades. Additional purchases included Angolan Girassol, U.S. Mars, and Abu Dhabi’s Murban, totaling millions of barrels sourced from non-Russian producers. Analysts note this aligns with a broader trend of Indian refiners diversifying suppliers post-July 2025, coinciding with intensified U.S. diplomatic efforts to isolate Russia.
Notably, Bharat Petroleum and IOC have finalized deals for non-Russian crude shipments set to arrive between September and October 2025. These agreements reflect a strategic retreat from earlier procurement patterns: Indian state refiners, once dominant buyers of Russian Urals crude, halted purchases in late July 2025 under pressure from Washington. This realignment has reinvigorated India’s engagement with Nigeria’s oil market, where it had been largely inactive since 2022.
Meanwhile, Nigeria’s $20 billion Dangote Petroleum Refinery—Africa’s largest—faces its own supply challenges. Despite a domestic naira-for-crude agreement launched in late 2024 to bolster local sourcing, the Lagos-based facility imported a record 10 million barrels in July 2025, with 60% originating from the U.S. Commodities analytics firm Kpler reported that American West Texas Intermediate (WTI) crude accounted for the majority of the refinery’s 590,000-barrel-per-day intake, surpassing Nigerian grades for the first time.
“U.S. crude’s dominance in Dangote’s feedstock marks a significant shift,” a Kpler analyst stated, attributing the trend to logistical hurdles and pricing advantages. While Nigerian crude constituted 40% of July imports, the refinery’s reliance on foreign supplies underscores persistent bottlenecks in securing consistent domestic volumes, despite Nigeria’s status as Africa’s top oil producer.
The dual trends—India’s return to Nigerian crude and Dangote’s growing U.S. imports—highlight the complex interplay of geopolitics, economics, and infrastructure shaping global energy flows. As refiners navigate sanction risks and supply chain realities, the recalibration underscores the enduring influence of external pressures on national energy strategies.
