India’s state‑run refiner Indian Oil has halted new orders for Russian oil after the United States imposed sanctions on Moscow’s two biggest producers. Instead, the company will purchase two million barrels of West African crude from ExxonMobil—Mondo from Angola and Utapate from Nigeria. This shift comes as India, which became the world’s largest importer of Russian crude following the 2022 Ukraine invasion, looks for alternative supplies.
Indian Oil has also invited bids for 24 million barrels of oil from the Americas for the January‑to‑March 2026 quarter, seeking both low‑sulphur and high‑sulphur grades. The request is intended to gauge market interest in case the company needs to source oil from the Americas. Many Indian refiners have turned to the spot market for alternatives since the U.S. sanctions were enacted.
The change in India’s procurement strategy occurs amid a decline in global oil prices, which have fallen for a third consecutive day. Brent crude futures slipped 0.11% to $64.33 a barrel, while U.S. crude futures dropped 0.12% to $60.08. The price dip is attributed to doubts about the effectiveness of sanctions on Russia and the prospect of an OPEC+ output increase.
In related news, Nigeria’s crude oil production fell to 1.39 million barrels per day in September 2025, down from 1.434 million bpd in August, due to a labor strike by the Petroleum and Natural Gas Senior Staff Association of Nigeria. The country aims to raise its OPEC+ quota from 1.5 million to 2.06 million barrels per day and is expected to boost gas exports after the European Union banned LNG imports from Russia.
These developments are being closely watched as OPEC+ considers a modest output boost in December. Saudi Aramco’s CEO has affirmed that crude oil demand remains strong, especially in China. As the global oil landscape evolves, India’s decision to pause Russian oil orders and seek alternative sources is likely to have significant market implications.
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