New Delhi, Jun 28 (PTI) India is looking at slashing oil imports from Iran? and replacing them with more purchases from Saudi Arabia and Kuwait after US re-imposed sanctions on the Persian Gulf nation, government and industry officials said today. Also Read - Trump Admin Blacklists Xiaomi, 8 Other Firms With Chinese Military Ties
While a final view on US asking India and China to cut Iranian oil imports has not yet been taken, the petroleum ministry has asked refiners to tread cautiously and start looking at alternatives, they said. Also Read - China Pakistan Economic Corridor: Where CPEC Stands Now?
Bringing down imports to zero, as desired by the US, may however not be feasible, officials said. Also Read - Hope For Peace But Prepared to Deal With Any Threat: Army Chief Naravane on Ladakh Standoff
The ministry held discussions with oil refiners today and will follow them up with meetings with external affairs ministry next week.
“Clarity will emerge in one weeks time,” an official said.
Replacing Iran, which is India’s third largest oil supplier behind Iraq and Saudi Arabia, will not be a problem but margins will be hit as Tehran offers the best commercial terms, another official said.
High sulphur crude from the Middle-East particularly from Saudi Arabia and Kuwait can easily replace the quantities being bought from Iran, he said.
Other sources in Latin America and US are also some options, he added.
This is published unedited from the PTI feed.