Indian refiners are returning to the Venezuelan crude market after a three-year suspension, seizing the opportunity created by the easing of US sanctions in late October. Shipping fixtures indicate that India is set to load cargoes for November and December, with about 20,000 mt in November and 390,000 mt in December. This move challenges the dominance of Chinese independent refiners, which continued to buy Venezuelan crude even during the sanctions era. The easing of sanctions opens Venezuelan crude to a broader market, potentially reducing its discount on crude sold to China and diverting volumes to other destinations. Indian refiners such as Reliance Industries and Nayara Energy, with refineries capable of processing heavy grades, stand to benefit from Venezuelan crude imports. The move allows Indian refiners to diversify their crude sources and enhance overall supply chain resilience. Despite the resumption of Venezuelan crude imports, analysts do not anticipate a reduction in Indian refiners' imports of Russian crude, particularly Urals, as it continues to maintain a considerable discount and serves as India's primary source of crude oil in 2023

SOURCE:GOOGLE