Russian oil flows surge 82% in March to near-peak levels (With the Strait of Hormuz shut, the US has given a 30-day waiver for refiners to purchase Russian oil), Pg15

Key Highlights:

• India's Russian oil imports surged by 82.3% in March, reaching 1.9 million barrels per day (bpd).
• Strait of Hormuz closure led to a crash in imports from West Asia, including Iraq (-69.2%), UAE (-72.8%), Saudi Arabia (-45.1%), and Kuwait (-45.8%).
• Russia's share in India's oil imports rose to 45.2% in March, up from 20.1% in February.
• India's total crude imports are down by about 800,000 bpd compared to pre-conflict levels, but refinery runs remain stable.

Detailed Insights:

• India relies on imports for over 88% of its crude oil needs, with 2.5-2.7 million bpd typically passing through the Strait of Hormuz.
• Disruption in the Strait of Hormuz has prompted Indian refiners to increase Russian oil purchases by 0.8-1.0 million bpd.
• Despite decreased overall crude imports, India has maintained refinery operations by utilizing commercial inventories and sustaining product exports.
• The US has granted a 30-day waiver for refiners to purchase Russian oil, due to the closure of the Strait of Hormuz.
• Before the conflict, India's oil imports from Russia were projected to be around 0.8-1 million bpd in March.
• Indian refiners have already secured approximately 60 million barrels of Russian crude for delivery in April.

Key Concepts Involved:

• Strait of Hormuz: A narrow waterway between Iran and Oman, crucial for global oil transportation.
• Crude Oil: Unrefined petroleum, a primary raw material for gasoline, diesel, and other fuels.
• Refinery Runs: The volume of crude oil processed by a refinery in a given period.