Indian Oil Corp has a contract to buy 180,000 bpd Iranian oil in FY19

India's biggest state-owned crude oil refiner Indian Oil Corp Ltd aims to lift full volumes under its 2018/19 annual contract with Iran, a company official said on Thursday.

The company has a deal to buy 180,000 barrels per day (bpd) Iranian oil this financial year.

He said India's overall oil imports from Iran could surpass last year's level. Indian state refiners cut imports from Iran in the last financial year due to a dispute over the development rights of a large gas field.

The official, who did not wish to be identified because of the sensitivity of the matter, said Indian refiners are prepared to pay for Iran oil imports entirely in rupees through state-owned UCO Bank.