On Friday, trade sources revealed that IOC purchased two million barrels of West African crude and one million barrels of Middle Eastern grade, maintaining a pattern that reflects both geopolitical concerns and India’s realistic energy security goals.
The acquisitions included one million barrels of Nigeria’s Agbami and Usan oil grades from French energy firm TotalEnergies, as well as one million barrels of Abu Dhabi’s Das crude from Shell.
According to sources, the Nigerian cargoes were obtained free-on-board (FOB), and the Das crude was purchased delivered, with shipments likely to arrive in Indian ports between late October and early November.
This is hardly the first indication of India’s shift to West African oil; however, the option to forego US oil in the latest offer is a stark contrast to the previous week, when IOC purchased five million barrels of US West Texas Intermediate (WTI), as seen on Reuters.
Previous report on the oil trade between India and Nigeria
This shift is especially significant considering India’s status as a country that purchased a considerable amount of cheap Russian oil beginning in 2022.
Following Russia’s invasion of Ukraine, New Delhi took advantage of the chance to acquire oil at reduced prices, protecting itself from global energy price shocks while evading Western sanctions.
However, U.S. President Donald Trump’s recent campaign to reduce Moscow’s energy profits has caused Indian refiners to reduce their imports from Russia, with state-owned businesses stopping acquisitions since late July.
For oil-producing nations in Africa, this shift is a welcome development.
Nigeria and Angola, in particular, hope to profit from rising Indian demand, potentially stabilizing their own export income at a time when global competition for markets is severe.
