Govt aims to secure Russian crude oil term deal by next financial year

Falling crude prices, shrinking global demand growth, and Rosneft's focus on India, make the timing right

The government plans to strengthen ongoing efforts to secure a term deal for crude oil purchase from Russia by the next financial year, petroleum ministry sources said.

 

Russian state oil firm Rosneft's recent deal to supply record volumes of crude oil to Reliance Industries (RIL) shows the time is right to strike a major deal with the country, they added.

 

A joint front of state-owned refiners are discussing crude oil purchase from Russia under a term deal, and will be asked to step up talks, sources said. Crude oil from Russia is usually purchased on spot prices, while long-term contracts