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Sources say that India's IOC and BPCL purchases Russian oil in Jan-loads which is compliant with sanctions

Trade sources familiar with the situation said that Indian Oil Corp. and Bharat Petrol Corp. placed orders in January for the loading Russian oil from nonsanctioned providers due to the widening discount.

BPCL said it had purchased four cargoes: two of Russian Urals, and one of CPC. Urals were sold at a discounted price of $6 to $7 per barrel compared to Brent.

They said that India's largest refiner IOC has also purchased some cargoes from Russia for loading in January.

IOC has consistently purchased Russian oil cargoes that comply with sanctions since Washington imposed sanctions against top Russian oil producers Rosneft Lukoil and in October. BPCL, however, skipped the December-loading purchases of Russian oil.

Kazakhstan supplies the majority of oil sold through the Caspian Pipeline Consortium system (CPC). Russia also sells oil through CPC.

BPCL and IOC didn't immediately respond to a comment request.

The other state refiners, including Hindustan Petroleum Corp, Mangalore Refinery & Petrochemicals Ltd and HPCL-Mittal Energy Ltd have also stopped purchasing Russian oil.

Nayara Energy, a company owned in part by Rosneft and exclusively processing Russian crude oil, has been the sole supplier of Russian oil since other suppliers withdrew following British sanctions and EU sanctions.

Reliance Industries Ltd., the operator of the largest refining complex in the world, said that it would process any parcels arriving after November 20, under its agreement with Roneft, at its Indian-focused refinery. (Reporting and editing by Tom Hogue, Michael Perry, and Nidhi verma)

(source: Reuters)