Crude oil prices reached $90 per barrel at the end of last week. Elevated crude oil prices could impact economies across the globe. Watch in for more details!

Crude oil prices rise: Impact on global economy

Crude oil prices rise | How higher fuel cost will impact you?

For the first half of the year, the Organization of Petroleum Exporting Countries and its partners (OPEC+) decided to maintain oil production cutbacks. This will keep global crude markets tight and oil prices elevated. Brent crude rose to over $90 per barrel after the OPEC+ decision.

Oil nears $90 a barrel after OPEC+ sticks with supply cuts

Russia witnessed a surge in oil and gas revenue in February, with proceeds exceeding $10 billion, representing an increase of over 80 per cent compared to the previous year.<o:p></o:p>

According to a Bloomberg report, the surge in revenue was attributed to soaring prices for Russian crude, despite enduring Western sanctions targeting the nation's energy sector.<o:p></o:p>

The average price of $65 per barrel for Urals, Russia's primary export blend was used to compute the oil taxes. Compared to a year ago, that was less than $50.

Taxes on crude and petroleum products, constituting 84 per cent of total hydrocarbon revenues, more than doubled, according to calculations made by Bloomberg based on official data.<o:p></o:p>

Russia's oil and gas sectors serve as crucial revenue sources for the nation, particularly amid rising military expenditures associated with Moscow's involvement in Ukraine. <o:p></o:p>

Despite the economic pressures and sanctions, Russia's ability to bolster its energy revenues underscores the resilience of its energy industry amid geopolitical challenges.<o:p></o:p>

Western sanctions imposed to curb Russia's oil revenues have seen varying degrees of effectiveness. <o:p></o:p>

While the European Union and the Group of Seven nations imposed restrictions on crude imports and imposed price caps on Russian oil cargoes, Moscow has leveraged alternative strategies to mitigate the impact, including the utilisation of a shadow fleet of tankers and collaboration with non-Western buyers and intermediaries.<o:p></o:p>

In response to sanctions and fluctuating oil prices, Russia has implemented measures to safeguard its budgetary cash flows, including the activation of a "price floor mechanism." <o:p></o:p>

This mechanism ensures that producers pay taxes based on an artificial discount for Urals crude, shielding budget revenues from potential price fluctuations.<o:p></o:p>

Additionally, Russia's adjustments in taxation policies, including reductions in export duties on crude and oil products along with increases in the oil-extraction tax, have contributed to strengthening revenue from the oil-production tax. <o:p></o:p>

These fiscal measures have enabled Russia to maintain stability in its energy revenue streams amid evolving market conditions.<o:p></o:p>

Moreover, Russia allocated subsidies to its oil processors in February for domestic sales of diesel and gasoline, indicating a multifaceted approach to stabilise the energy sector and ensure market stability. <o:p></o:p>

(With inputs from Bloomberg)<o:p></o:p>

Russia witnessed a surge in oil and gas revenue in February, with proceeds exceeding $10 billion, representing an increase of over 80 per cent compared to the previous year.

Russia witnessed a surge in oil and gas revenue in February, with proceeds exceeding $10 billion, representing an increase of over 80 per cent compared to the previous year. According to a Bloomberg report, the surge in revenue was attributed to soaring prices for Russian crude, despite enduring Western sanctions targeting the nation's energy sector. The average price of $65 per barrel for Urals, Russia's primary export blend was used to compute the oil taxes. Compared to a year ago, that was less than $50. Taxes on crude and petroleum products, constituting 84 per cent of total hydrocarbon revenues, more than doubled, according to calculations made by Bloomberg based on official data. Russia's oil and gas sectors serve as crucial revenue sources for the nation, particularly amid rising military expenditures associated with Moscow's involvement in Ukraine. Despite the economic pressures and sanctions, Russia's ability to bolster its energy revenues underscores the resilience of its energy industry amid geopolitical challenges. Western sanctions imposed to curb Russia's oil revenues have seen varying degrees of effectiveness. While the European Union and the Group of Seven nations imposed restrictions on crude imports and imposed price caps on Russian oil cargoes, Moscow has leveraged alternative strategies to mitigate the impact, including the utilisation of a shadow fleet of tankers and collaboration with non-Western buyers and intermediaries. In response to sanctions and fluctuating oil prices, Russia has implemented measures to safeguard its budgetary cash flows, including the activation of a "price floor mechanism." This mechanism ensures that producers pay taxes based on an artificial discount for Urals crude, shielding budget revenues from potential price fluctuations. Additionally, Russia's adjustments in taxation policies, including reductions in export duties on crude and oil products along with increases in the oil-extraction tax, have contributed to strengthening revenue from the oil-production tax. These fiscal measures have enabled Russia to maintain stability in its energy revenue streams amid evolving market conditions. Moreover, Russia allocated subsidies to its oil processors in February for domestic sales of diesel and gasoline, indicating a multifaceted approach to stabilise the energy sector and ensure market stability. (With inputs from Bloomberg)

Russia's oil and gas revenue surges, providing budget boost amid sanctions

India has put $ 37 billion into Moscow's coffers with unprecedented purchase of Russian oil at a time it is locked in a war with Ukraine. Watch in for more details!

Russia's shifting oil export trends

Saudi Arabia's unexpected decision to abandon plans to increase its oil production capacity by 8 per cent to 13 million barrels a day by 2027 has sparked speculation about the kingdom's outlook on future oil demand.<o:p></o:p>

This is based on a Bloomberg report.<o:p></o:p>

The announcement from state-run Saudi Aramco has fuelled discussions about whether Riyadh is growing more pessimistic about oil consumption amid the global shift towards low-carbon energy. <o:p></o:p>

While concerns about demand are part of the equation, another significant factor is the competition from rival oil producers, particularly US shale.<o:p></o:p>

The lack of a detailed explanation from Saudi Aramco regarding the shift in production plans has led to speculation within the industry. <o:p></o:p>

Some experts believe that Riyadh's decision is not necessarily permanent shelving but a delay in upstream expansion plans, possibly due to concerns about softer oil balances in the coming years. <o:p></o:p>

Bob McNally, President of Rapidan Energy Group, suggests that Riyadh is responding to the challenges posed by increased supply outside the OPEC+ alliance, indicating a strategic move to adapt to changing market dynamics.<o:p></o:p>

The surge in production from rival suppliers, particularly US shale, has been a persistent concern for Saudi Arabia and its OPEC+ allies. <o:p></o:p>

The shale oil revolution, which began around a decade ago, had a profound impact on global oil markets, leading to a significant drop in crude prices. <o:p></o:p>

Despite the initial retreat of shale drillers during the COVID-19 pandemic, they have staged a comeback in recent years, contributing to record-breaking American output exceeding 13 million barrels a day. <o:p></o:p>

The resilience of shale, coupled with increased production from other nations like Brazil and Guyana, has created a scenario of plenty in the oil market, impacting prices and influencing strategic decisions by major oil-producing nations.<o:p></o:p>

While Saudi Arabia's decision has been associated with global oil market trends, domestic factors are also in play. <o:p></o:p>

The kingdom is expected to face a budget shortfall of about 4.3 per cent of GDP in 2024, with funding requirements exceeding $46 billion. <o:p></o:p>

Economic diversification initiatives, championed by Crown Prince Mohammed bin Salman, involve substantial spending on tourism, sports, and other projects. Aramco, being 98 per cent state-owned, pays significant dividends to the government, even with production cuts. <o:p></o:p>

Abandoning the expansion plans to reach 13 million barrels a day could alleviate budgetary pressures on Aramco by reducing annual spending by approximately $5 billion, providing financial flexibility amid economic challenges.<o:p></o:p>

(With inputs from Bloomberg)<o:p></o:p>

Saudi Arabia's unexpected decision to abandon plans to increase its oil production capacity by 8 per cent to 13 million barrels a day by 2027 has sparked speculation about the kingdom's outlook on future oil demand.

Saudi Arabia's unexpected decision to abandon plans to increase its oil production capacity by 8 per cent to 13 million barrels a day by 2027 has sparked speculation about the kingdom's outlook on future oil demand. This is based on a Bloomberg report. The announcement from state-run Saudi Aramco has fuelled discussions about whether Riyadh is growing more pessimistic about oil consumption amid the global shift towards low-carbon energy. While concerns about demand are part of the equation, another significant factor is the competition from rival oil producers, particularly US shale. The lack of a detailed explanation from Saudi Aramco regarding the shift in production plans has led to speculation within the industry. Some experts believe that Riyadh's decision is not necessarily permanent shelving but a delay in upstream expansion plans, possibly due to concerns about softer oil balances in the coming years. Bob McNally, President of Rapidan Energy Group, suggests that Riyadh is responding to the challenges posed by increased supply outside the OPEC+ alliance, indicating a strategic move to adapt to changing market dynamics. The surge in production from rival suppliers, particularly US shale, has been a persistent concern for Saudi Arabia and its OPEC+ allies. The shale oil revolution, which began around a decade ago, had a profound impact on global oil markets, leading to a significant drop in crude prices. Despite the initial retreat of shale drillers during the COVID-19 pandemic, they have staged a comeback in recent years, contributing to record-breaking American output exceeding 13 million barrels a day. The resilience of shale, coupled with increased production from other nations like Brazil and Guyana, has created a scenario of plenty in the oil market, impacting prices and influencing strategic decisions by major oil-producing nations. While Saudi Arabia's decision has been associated with global oil market trends, domestic factors are also in play. The kingdom is expected to face a budget shortfall of about 4.3 per cent of GDP in 2024, with funding requirements exceeding $46 billion. Economic diversification initiatives, championed by Crown Prince Mohammed bin Salman, involve substantial spending on tourism, sports, and other projects. Aramco, being 98 per cent state-owned, pays significant dividends to the government, even with production cuts. Abandoning the expansion plans to reach 13 million barrels a day could alleviate budgetary pressures on Aramco by reducing annual spending by approximately $5 billion, providing financial flexibility amid economic challenges. (With inputs from Bloomberg)

Saudi Arabia shelves oil production expansion plans, raising questions on future demand

India's purchase of discounted Russian crude oil has fallen to an 11-month low with the rise in prices, said AFP citing figures from global energy trade intelligence platform Kpler. India had continued to purchase Russian oil even after Western sanctions on Russia and had made it clear that it would make decisions as per its national interests.

However, the oil purchase has fallen after production cuts from OPEC+ and increased demand from China made the prices go up.

As per figures with Kpler,&nbsp;refiners in India purchased 1.45 million barrels per day of Russian oil last month. This is the lowest figure since last January.

Viktor Katona lead crude analyst at Kpler told AFP that "interplay between India and China" was a key factor behind the 11-month low "as both countries now vie for the same barrels".

Watch | India: New milestone for Kashmir's winter wonderland, over 1 million visitors visit Gulmarg

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/india-new-milestone-for-kashmirs-winter-wonderland-over-1-million-visitors-visit-gulmarg-678053/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

India's purchase of millions of barrels of Russian oil since the start of the Ukraine war has placed India in second place on the list of countries buying the most oil from Russia after China. India has saved billions of dollars because of the discounted prices.

The purchases from both countries so far have helped Russia. Russian oil is now trading at USD 85 per barrel, much above the USD 60 price cap imposed by Western sanctions a year ago.

Also Read | <a href="https://www.wionews.com/india-news/india-a-pillar-of-stability-trusted-friend-pm-modi-at-vibrant-gujarat-global-summit-2024-678546">India a pillar of stability, trusted friend: PM Modi at Vibrant Gujarat Global Summit 2024</a>

In 10 months after Russia invaded Ukraine, India saved USD 3.6 billion by purchasing discounted Russian oil, as per figures presented in the Parliament of India.

India's purchases hit a high at over two million bpd (barrels per day) in May last year. But they have gone down since.

Also Read | <a href="https://www.wionews.com/india-news/severe-cold-in-delhi-takes-power-consumption-to-all-time-high-678678">Severe cold in Delhi takes power consumption to all-time high</a>

The Indian government, however, maintains that the reason behind the drop in oil purchases is price-driven and not political.

"If they don't offer us a discount, why would we buy from them," Indian oil minister Hardeep Singh Puri told reporters last week.

"India's leadership has only one requirement: that the Indian consumer gets the energy at the most economical price, without disruption," he added.

(With inputs from agencies)

India's purchase of discounted Russian crude oil has fallen to an 11-month low with the rise in prices, said AFP citing figures from global energy trade intelligence platform Kpler.

India's purchase of discounted Russian crude oil has fallen to an 11-month low with the rise in prices, said AFP citing figures from global energy trade intelligence platform Kpler. India had continued to purchase Russian oil even after Western sanctions on Russia and had made it clear that it would make decisions as per its national interests. However, the oil purchase has fallen after production cuts from OPEC+ and increased demand from China made the prices go up. As per figures with Kpler, refiners in India purchased 1.45 million barrels per day of Russian oil last month. This is the lowest figure since last January. Viktor Katona lead crude analyst at Kpler told AFP that "interplay between India and China" was a key factor behind the 11-month low "as both countries now vie for the same barrels". Watch | India: New milestone for Kashmir's winter wonderland, over 1 million visitors visit Gulmarg × India's purchase of millions of barrels of Russian oil since the start of the Ukraine war has placed India in second place on the list of countries buying the most oil from Russia after China. India has saved billions of dollars because of the discounted prices. The purchases from both countries so far have helped Russia. Russian oil is now trading at USD 85 per barrel, much above the USD 60 price cap imposed by Western sanctions a year ago. Also Read | India a pillar of stability, trusted friend: PM Modi at Vibrant Gujarat Global Summit 2024 In 10 months after Russia invaded Ukraine, India saved USD 3.6 billion by purchasing discounted Russian oil, as per figures presented in the Parliament of India. India's purchases hit a high at over two million bpd (barrels per day) in May last year. But they have gone down since. Also Read | Severe cold in Delhi takes power consumption to all-time high The Indian government, however, maintains that the reason behind the drop in oil purchases is price-driven and not political. "If they don't offer us a discount, why would we buy from them," Indian oil minister Hardeep Singh Puri told reporters last week. "India's leadership has only one requirement: that the Indian consumer gets the energy at the most economical price, without disruption," he added. (With inputs from agencies)

India's purchases of discounted Russian crude reach 11-month low

In a recent development, QatarEnergy has inked a significant five-year crude oil supply deal with Shell International Eastern Trading Company, Singapore, a subsidiary of Shell.&nbsp;

Commencing in January 2024, this landmark agreement entails the supply of up to 18 million barrels per annum of Qatar’s indigenous crude oils, including Qatar Land and Qatar Marine, CNBC reported. &nbsp;

Expressing his enthusiasm, Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs and the President and CEO of QatarEnergy, said: "We are delighted to sign our first-ever five-year crude sales agreement," CNBC quoted him as saying.&nbsp;

Emphasising the broader significance, he added, "This agreement further strengthens QatarEnergy’s relationship with Shell, a major customer and a strategic partner. Our historic relationship with Shell extends beyond mere transactional interactions to deeper, more strategic cooperation."&nbsp;

While the recent deal marks a new chapter in the ongoing collaboration between QatarEnergy and Shell, the roots of their relationship run deep, nurtured over the years through shared investments in the energy industry. &nbsp;

Key joint ventures include QatarEnergy LNG projects, the Pearl GTL Plant, and various other substantial investments, showcasing the synergies derived from combining QatarEnergy’s resources with Shell’s global energy expertise.&nbsp;

This strategic move aligns with QatarEnergy's overarching strategy to expand its global footprint and solidify its standing as a leading energy supplier. &nbsp;

By bridging Qatar's local resources with Shell’s extensive international market reach, this agreement sets a precedent for future long-term partnerships in the dynamic and competitive global energy market.&nbsp;

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

In a recent development, QatarEnergy has inked a significant five-year crude oil supply deal with Shell International Eastern Trading Company, Singapore, a subsidiary of Shell.

In a recent development, QatarEnergy has inked a significant five-year crude oil supply deal with Shell International Eastern Trading Company, Singapore, a subsidiary of Shell. Commencing in January 2024, this landmark agreement entails the supply of up to 18 million barrels per annum of Qatar’s indigenous crude oils, including Qatar Land and Qatar Marine, CNBC reported. Expressing his enthusiasm, Saad Sherida Al-Kaabi, the Minister of State for Energy Affairs and the President and CEO of QatarEnergy, said: "We are delighted to sign our first-ever five-year crude sales agreement," CNBC quoted him as saying. Emphasising the broader significance, he added, "This agreement further strengthens QatarEnergy’s relationship with Shell, a major customer and a strategic partner. Our historic relationship with Shell extends beyond mere transactional interactions to deeper, more strategic cooperation." While the recent deal marks a new chapter in the ongoing collaboration between QatarEnergy and Shell, the roots of their relationship run deep, nurtured over the years through shared investments in the energy industry. Key joint ventures include QatarEnergy LNG projects, the Pearl GTL Plant, and various other substantial investments, showcasing the synergies derived from combining QatarEnergy’s resources with Shell’s global energy expertise. This strategic move aligns with QatarEnergy's overarching strategy to expand its global footprint and solidify its standing as a leading energy supplier. By bridging Qatar's local resources with Shell’s extensive international market reach, this agreement sets a precedent for future long-term partnerships in the dynamic and competitive global energy market. WATCH WION LIVE HERE

QatarEnergy forges strategic five-year crude oil pact with Shell  

Turkey and Turkish companies have managed to save approximately $2 billion on energy bills in 2023 by significantly increasing imports of discounted Russian oil and refined products, a Reuters calculation based on LSEG data and traders' estimates has revealed. Despite Western sanctions, Ankara expresses its intention to further strengthen ties with Russia, emerging as the primary importer of Russian energy in the Western hemisphere.<o:p></o:p>

Rising Russian Imports and Savings<o:p></o:p>

Following Russia's invasion of Ukraine, European countries reduced imports of Russian oil and gas, turning Turkey into the largest importer of Russian energy in the Western hemisphere. Proximity to Russian ports grants Turkey substantial savings on freight costs, with estimates suggesting savings of $2 billion on energy bills this year.<o:p></o:p>

Record High Crude Shipments to Turkey<o:p></o:p>

In November 2023, shipments of Russian Urals crude oil to Turkey reached an all-time high of 400,000 barrels per day, accounting for 14 per cent of Russia's overall seaborne oil exports last month. This surge in crude oil imports contributes significantly to Turkey's energy cost savings.<o:p></o:p>

Expanding Energy Partnership<o:p></o:p>

Private Russian oil producer Lukoil recently signed a deal with Azeri firm SOCAR to refine up to 200,000 barrels per day of its oil at Socar’s Turkish STAR refinery, suggesting a further increase in supplies to Turkey. While Russia's energy ministry declined to comment, Turkey's energy ministry, Turpas, and STAR refiner did not respond to requests for comments.<o:p></o:p>

Surge in Refined Product Imports<o:p></o:p>

In addition to rising crude supplies, Turkey has witnessed a 200 per cent increase in imports of Russian diesel, heating oil, jet fuel, and marine fuel from January to November 2023, reaching approximately 0.29 million barrels per day. Russia supplied Turkey with 13 million tonnes of distillates during this period, compared to 4.3 million tonnes in the same period in 2022.<o:p></o:p>

Economic Impact on Turkey<o:p></o:p>

Turkey's strategy of importing discounted Russian oil has proven economically beneficial, with reported savings of between $25 and $150 per ton of Russia diesel and $5-20 per barrel for crude. These savings have played a crucial role in helping Turkey narrow its trade deficit and alleviate pressure on its currency, which has devalued by 30 per cent this year.<o:p></o:p>

Accusations and Denials<o:p></o:p>

While accusations from activists and supporters of Ukraine suggest that Turkey is aiding Russia in bypassing sanctions, the country denies these claims, asserting that it is exporting fuels refined from various types of crude. Critics argue that Turkey's actions may indirectly be helping Russia channel its products to Europe.<o:p></o:p>

A Global Trend<o:p></o:p>

Turkey's approach to save on Russian oil purchases is not unique, as India, refusing to join sanctions against Moscow, has increased imports of Russian oil by 77 per cent in 2023, saving roughly $2.7 billion. Both countries enjoy significant savings on freight rates compared to other importers like India.<o:p></o:p>

Strategic Talks on Russian Gas Hub<o:p></o:p>

In the midst of these developments, Moscow and Ankara are engaged in discussions to set up a hub for Russian gas in Turkey. This initiative aligns with Ankara's longstanding desire to become a major energy distribution hub for southern Europe, offering Russia an alternative route for its gas exports amidst reduced purchases by the EU.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

<o:p></o:p>

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

Turkey and Turkish companies have managed to save approximately $2 billion on energy bills in 2023 by significantly increasing imports of discounted Russian oil and refined products, a Reuters calculation based on LSEG data and traders' estimates has revealed.

Turkey and Turkish companies have managed to save approximately $2 billion on energy bills in 2023 by significantly increasing imports of discounted Russian oil and refined products, a Reuters calculation based on LSEG data and traders' estimates has revealed. Despite Western sanctions, Ankara expresses its intention to further strengthen ties with Russia, emerging as the primary importer of Russian energy in the Western hemisphere. Rising Russian Imports and Savings Following Russia's invasion of Ukraine, European countries reduced imports of Russian oil and gas, turning Turkey into the largest importer of Russian energy in the Western hemisphere. Proximity to Russian ports grants Turkey substantial savings on freight costs, with estimates suggesting savings of $2 billion on energy bills this year. Record High Crude Shipments to Turkey In November 2023, shipments of Russian Urals crude oil to Turkey reached an all-time high of 400,000 barrels per day, accounting for 14 per cent of Russia's overall seaborne oil exports last month. This surge in crude oil imports contributes significantly to Turkey's energy cost savings. Expanding Energy Partnership Private Russian oil producer Lukoil recently signed a deal with Azeri firm SOCAR to refine up to 200,000 barrels per day of its oil at Socar’s Turkish STAR refinery, suggesting a further increase in supplies to Turkey. While Russia's energy ministry declined to comment, Turkey's energy ministry, Turpas, and STAR refiner did not respond to requests for comments. Surge in Refined Product Imports In addition to rising crude supplies, Turkey has witnessed a 200 per cent increase in imports of Russian diesel, heating oil, jet fuel, and marine fuel from January to November 2023, reaching approximately 0.29 million barrels per day. Russia supplied Turkey with 13 million tonnes of distillates during this period, compared to 4.3 million tonnes in the same period in 2022. Economic Impact on Turkey Turkey's strategy of importing discounted Russian oil has proven economically beneficial, with reported savings of between $25 and $150 per ton of Russia diesel and $5-20 per barrel for crude. These savings have played a crucial role in helping Turkey narrow its trade deficit and alleviate pressure on its currency, which has devalued by 30 per cent this year. Accusations and Denials While accusations from activists and supporters of Ukraine suggest that Turkey is aiding Russia in bypassing sanctions, the country denies these claims, asserting that it is exporting fuels refined from various types of crude. Critics argue that Turkey's actions may indirectly be helping Russia channel its products to Europe. A Global Trend Turkey's approach to save on Russian oil purchases is not unique, as India, refusing to join sanctions against Moscow, has increased imports of Russian oil by 77 per cent in 2023, saving roughly $2.7 billion. Both countries enjoy significant savings on freight rates compared to other importers like India. Strategic Talks on Russian Gas Hub In the midst of these developments, Moscow and Ankara are engaged in discussions to set up a hub for Russian gas in Turkey. This initiative aligns with Ankara's longstanding desire to become a major energy distribution hub for southern Europe, offering Russia an alternative route for its gas exports amidst reduced purchases by the EU. (With inputs from Reuters) WATCH WION LIVE HERE

Turkey saves billions on Russian oil amid sanctions, boosting imports

The US is considering tightening sanctions on Iran's crude oil exports in response to Tehran's alleged backing of the Palestinian militant group Hamas.

US: Biden administration would consider curbing Iranian crude exports | World News | WION

The Indian Rupee depreciated for the fourth straight day and settled 9 paise lower at its lifetime low of 83.22 (provisional) against the US dollar on Thursday (Sept. 7)&nbsp;amid a firm American currency and elevated crude oil prices.

Positive trend in the domestic equity markets, however, provided a cushion to the rupee, according to forex traders.

Crude oil breached the USD 90 per barrel-mark after oil producing countries agreed to extend supply cut till December this year while dollar stayed firm on safe-haven demand.

At the interbank foreign exchange, the rupee opened at 83.15 against the dollar and traded in the range of 83.12 to 83.22 against the greenback. It ended at the lowest level of 83.22 (provisional) against the dollar, registering a fall of 9 paise from its previous close.

On Wednesday, the rupee settled 9 paise lower at 83.13 against the dollar. Earlier, the Indian currency had closed at the same level of 83.13 on August 21.

The domestic unit has declined 60 paise since Monday when it had closed 9 paise lower at 82.71 against the greenback. On Tuesday, the unit had plunged 33 paise, the sharpest fall this week.

WATCH:&nbsp;German Chancellor Olaf Scholz: Excessive bureaucracy paralyses economy

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/german-chancellor-olaf-scholz-excessive-bureaucracy-paralyses-economy-632989/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

"We expect rupee to trade with a negative bias on strong dollar and elevated crude oil prices. Disappointing European data may further support dollar. Rising US treasury yields and concerns over global economic growth may also weigh on rupee," Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas, said.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, rose by 0.09 per cent to 104.95.

Brent crude futures, the global oil benchmark, was trading 0.39 per cent lower at USD 90.25 per barrel.

<a href="https://www.wionews.com/business-economy/forecast-chinas-slowdown-means-it-may-not-surpass-us-economy-632540">Also read:&nbsp;Forecast: China’s slowdown means it may not surpass US economy</a>

On the domestic equity market front, the BSE Sensex closed 385.04 points or 0.58 per cent higher at 66,265.56 points while the broader Nifty jumped 116 points or 0.59 per cent to end at 19,727.05 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital market on Wednesday as they offloaded shares worth ₹ 3,245.86 crore, according to exchange data.

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

&nbsp;

The Indian Rupee depreciated for the fourth straight day and settled 9 paise lower at its lifetime low of 83.22 (provisional) against the US dollar on Thursday (Sept.

The Indian Rupee depreciated for the fourth straight day and settled 9 paise lower at its lifetime low of 83.22 (provisional) against the US dollar on Thursday (Sept. 7) amid a firm American currency and elevated crude oil prices. Positive trend in the domestic equity markets, however, provided a cushion to the rupee, according to forex traders. Crude oil breached the USD 90 per barrel-mark after oil producing countries agreed to extend supply cut till December this year while dollar stayed firm on safe-haven demand. At the interbank foreign exchange, the rupee opened at 83.15 against the dollar and traded in the range of 83.12 to 83.22 against the greenback. It ended at the lowest level of 83.22 (provisional) against the dollar, registering a fall of 9 paise from its previous close. On Wednesday, the rupee settled 9 paise lower at 83.13 against the dollar. Earlier, the Indian currency had closed at the same level of 83.13 on August 21. The domestic unit has declined 60 paise since Monday when it had closed 9 paise lower at 82.71 against the greenback. On Tuesday, the unit had plunged 33 paise, the sharpest fall this week. WATCH: German Chancellor Olaf Scholz: Excessive bureaucracy paralyses economy × "We expect rupee to trade with a negative bias on strong dollar and elevated crude oil prices. Disappointing European data may further support dollar. Rising US treasury yields and concerns over global economic growth may also weigh on rupee," Anuj Choudhary - Research Analyst at Sharekhan by BNP Paribas, said. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, rose by 0.09 per cent to 104.95. Brent crude futures, the global oil benchmark, was trading 0.39 per cent lower at USD 90.25 per barrel. Also read: Forecast: China’s slowdown means it may not surpass US economy On the domestic equity market front, the BSE Sensex closed 385.04 points or 0.58 per cent higher at 66,265.56 points while the broader Nifty jumped 116 points or 0.59 per cent to end at 19,727.05 points. Foreign Institutional Investors (FIIs) were net sellers in the capital market on Wednesday as they offloaded shares worth ₹ 3,245.86 crore, according to exchange data. WATCH WION LIVE HERE ×

Indian rupee slides to lifetime low of 83.22 against USD, crude oil breaches $90/barrel mark

Russian crude oil prices have risen over a group of seven caps, but Western trade services have not been affected. Western-owned or insured ships visiting the nation's ports had dropped marginally since early July when Urals surged over $60.

Russia’s flagship oil above $60 does little to halt G7 services

India’s crude oil imports from Saudi Arabia declined by 34 per cent in July, according to energy cargo tracker Vortexa. A Moneycontrol report said that India imported 484,000 barrels of crude oil per day in July, compared to 734,000 barrels per day (bpd) in June.

The decline in India's imports came after the West Asian kingdom announced supply cuts of one million bpd in July.

Saudi Arabia and a number of other oil-producing nations have cut oil supply in a bid to stabilise the global oil prices, Apart from Saudi Arabia, Iraq had decided to lower its oil supply by over 200,000 bpd through the end of the year. In May, Russia and the Organization of the Petroleum Exporting Countries announced a cut in oil production by 1.6 million bpd for the rest of the year.

Increase in crude oil imports from Russia

In the meantime, Russia continued to be India’s top crude oil supplier in July. According to Viktor Katona,&nbsp;head of crude analysis at&nbsp;Kpler's, daily volumes increased for the tenth straight month in June, reaching 2.2 million barrels per day. The data reveals that India received more crude oil from Moscow than it did from Saudi Arabia and Iraq, its usual suppliers, put together.

Following the invasion of Ukraine, India became a prime consumer of Russian oil, but due to infrastructural problems and the need to maintain good relations with other suppliers, the country’s oil purchase may have reached its limit.

Kpler however predicted that due to a decline in Russian oil production, imports may fall next month. According to a Bloomberg report, Reliance Industries Ltd. is the second-largest consumer of Russian crude after state-owned Indian Oil Corporation.

India, the third-largest consumer and importer of oil in the world, purchases more than 80 per cent of its oil from foreign markets.

&nbsp;

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

India’s crude oil imports from Saudi Arabia declined by 34 per cent in July, according to energy cargo tracker Vortexa. A Moneycontrol report said that India imported 484,000 barrels of crude oil per day in July, compared to 734,000 barrels per day (bpd) in June.

India’s crude oil imports from Saudi Arabia declined by 34 per cent in July, according to energy cargo tracker Vortexa. A Moneycontrol report said that India imported 484,000 barrels of crude oil per day in July, compared to 734,000 barrels per day (bpd) in June. The decline in India's imports came after the West Asian kingdom announced supply cuts of one million bpd in July. Saudi Arabia and a number of other oil-producing nations have cut oil supply in a bid to stabilise the global oil prices, Apart from Saudi Arabia, Iraq had decided to lower its oil supply by over 200,000 bpd through the end of the year. In May, Russia and the Organization of the Petroleum Exporting Countries announced a cut in oil production by 1.6 million bpd for the rest of the year. Increase in crude oil imports from Russia In the meantime, Russia continued to be India’s top crude oil supplier in July. According to Viktor Katona, head of crude analysis at Kpler's, daily volumes increased for the tenth straight month in June, reaching 2.2 million barrels per day. The data reveals that India received more crude oil from Moscow than it did from Saudi Arabia and Iraq, its usual suppliers, put together. Following the invasion of Ukraine, India became a prime consumer of Russian oil, but due to infrastructural problems and the need to maintain good relations with other suppliers, the country’s oil purchase may have reached its limit. Kpler however predicted that due to a decline in Russian oil production, imports may fall next month. According to a Bloomberg report, Reliance Industries Ltd. is the second-largest consumer of Russian crude after state-owned Indian Oil Corporation. India, the third-largest consumer and importer of oil in the world, purchases more than 80 per cent of its oil from foreign markets. WATCH WION LIVE HERE

India sees 34 per cent fall in oil imports from Saudi Arabia; supplies from Russia increase

Indonesia's Coast Guard has seized an Iranian flag super tanker which has been suspected of illegal transhipment of crude oil.

Iran-flagged tanker seized over suspected crude oil transfer by Indonesia

India and China, the world's leading oil consumers, have become major buyers of heavily discounted Russian crude oil. According to the international energy agency (iea), these two economic powerhouses accounted for a staggering 80 percent of Russia's crude oil exports in may. India's imports, which were almost non-existent before, have surged to nearly 2 million barrels per day, while china has increased its liftings to 2.2 million barrels per day.

India & China lead surge in Russian crude imports

European refiners are being hit hard by a surge in prices for middle eastern crude, as the region faces limited supplies of 'medium sour' crude since imposing sanctions on Russian shipments late last year. With prices soaring to all-time highs, the pressure is on for Europe to find new sources of affordable crude to keep the wheels turning.

Barrel of woes: Europe's oil woes escalate as prices skyrocket

European refiners find themselves grappling with soaring prices for denser barrels of crude oil from West Asia, according to a Bloomberg report. The surge in prices for cargo being shipped next month is causing significant challenges for the region's energy industry.&nbsp;

Iraq, a major oil producer, has set the official selling price of Basrah Medium crude at the highest level in over a year for June. The situation has intensified after&nbsp;Saudi Arabia's decision to raise the price of heavier oil for Europe. Surprisingly, for Asia, West Asian oil producers have either maintained stable costs or even slashed them for June, Bloomberg reported.

European refiners have&nbsp;faced difficulties in procuring crude oil&nbsp;ever since the West imposed sanctions on Russian shipments.

The flow of oil from Russia -- The eastern European nation has been European&nbsp;Union's&nbsp;top supplier -- has considerably declined since 2022, coinciding&nbsp;with a loss of barrels from the Mediterranean port of Ceyhan. This has exacerbated&nbsp;the strain on European refiners.&nbsp;

Adding to the turmoil, exports of Kurdish crude from northern Iraq have stopped since late March due to an ongoing payment dispute between Iraq and Turkey. The lack of resolution to this dispute prevents nearly half a million barrels a day of oil, comparable to Russia's, from being shipped through Turkey.

The absence of Kurdish crude in the market further tightens the supply and demand dynamics, forcing European refiners to explore other options and pay a premium for denser Middle Eastern barrels, according to Bloomberg.

It is&nbsp;worth noting that crude oils such as Russian Urals and Iraq's Basrah Medium typically yield more oil products such as diesel and fuel oil. However, these varieties are generally offered at discounted prices compared to other types due to their higher sulfur levels.

The competition for Basrah Medium crude has intensified in Europe over the past month. According to reports, approximately 23 million barrels of Iraqi crude are expected to be imported into the region this month, a significant increase from the 16 million barrels recorded in April. The growing demand for Basrah Medium crude and supply constraints have pushed prices to their highest levels.

European refiners are now faced with the challenge of balancing their energy needs while managing the escalating costs of crude oil. The industry is closely monitoring developments in the payment dispute between Iraq and Turkey, as a resolution could alleviate some of the supply pressure on the market.

European refiners find themselves grappling with soaring prices for denser barrels of crude oil from West Asia, according to a Bloomberg report. The surge in prices for cargo being shipped next month is causing significant challenges for the region's energy industry.

European refiners find themselves grappling with soaring prices for denser barrels of crude oil from West Asia, according to a Bloomberg report. The surge in prices for cargo being shipped next month is causing significant challenges for the region's energy industry. Iraq, a major oil producer, has set the official selling price of Basrah Medium crude at the highest level in over a year for June. The situation has intensified after Saudi Arabia's decision to raise the price of heavier oil for Europe. Surprisingly, for Asia, West Asian oil producers have either maintained stable costs or even slashed them for June, Bloomberg reported. European refiners have faced difficulties in procuring crude oil ever since the West imposed sanctions on Russian shipments. The flow of oil from Russia -- The eastern European nation has been European Union's top supplier -- has considerably declined since 2022, coinciding with a loss of barrels from the Mediterranean port of Ceyhan. This has exacerbated the strain on European refiners. Adding to the turmoil, exports of Kurdish crude from northern Iraq have stopped since late March due to an ongoing payment dispute between Iraq and Turkey. The lack of resolution to this dispute prevents nearly half a million barrels a day of oil, comparable to Russia's, from being shipped through Turkey. The absence of Kurdish crude in the market further tightens the supply and demand dynamics, forcing European refiners to explore other options and pay a premium for denser Middle Eastern barrels, according to Bloomberg. It is worth noting that crude oils such as Russian Urals and Iraq's Basrah Medium typically yield more oil products such as diesel and fuel oil. However, these varieties are generally offered at discounted prices compared to other types due to their higher sulfur levels. The competition for Basrah Medium crude has intensified in Europe over the past month. According to reports, approximately 23 million barrels of Iraqi crude are expected to be imported into the region this month, a significant increase from the 16 million barrels recorded in April. The growing demand for Basrah Medium crude and supply constraints have pushed prices to their highest levels. European refiners are now faced with the challenge of balancing their energy needs while managing the escalating costs of crude oil. The industry is closely monitoring developments in the payment dispute between Iraq and Turkey, as a resolution could alleviate some of the supply pressure on the market.

Sour and expensive: Europe's crude oil woes reach a boiling point

Saudi Arabia, the world's biggest oil producer, has lowered its oil prices for Asia. That is driven by concerns that a global economic slowdown could hurt oil demand. State-controlled Saudi Aramco's key Arab light-grade crude was reduced to 2.55 dollars a barrel for June.

Saudi Arabia cuts oil prices for Asia

The discount given by Russia to India for crude oil has decreased as China's demand for the product rockets. Quoting two Indian government officials in the know, Mint reports that the steep discounts the country enjoyed through most of FY23 have plunged due to Chinese demand and a cut at oil producers' end.&nbsp;

The Russian invasion of Ukraine, back in February 2022, sparked a slew of Western sanctions. Following this, as Moscow was left scrambling for buyers for its crude oil, India stepped up as a major buyer and managed to secure discounts of up to $15-20 a barrel. As per the Mint report, these discounts have now fallen below $10 and have even touched $5.

Also read |&nbsp;<a href="https://www.wionews.com/world/explosions-reported-throughout-ukraine-council-of-europe-says-russias-deportation-of-children-genocide-586831">Explosions reported throughout Ukraine; Council of Europe says Russia's deportation of children 'genocide'</a>

“With Russian oil finding more buyers, the discounts to Indian refiners have been coming down. Earlier, we were getting discounts that varied from cargo to cargo," one official told Mint, on the condition of anonymity.

“We used to get around $15-20 per barrel discount on Russian oil cargoes depending on what used to be the price in the spot market. That discount has become less now," said the second official.

However, recently, China, which happens to be the world's second-largest oil buyer, has become one of the top buyers of Russian oil.

As per Chinese government data, while earlier Saudi Arabia was the country's top oil supplier, Russia has taken over the position during January and February 2023.

Also read |&nbsp;<a href="https://www.wionews.com/india-news/india-tells-china-peace-along-borders-will-define-bilateral-ties-586813">India tells China peace along borders will define bilateral ties</a>

China's General Administration of Customs in March released data that showed the number of imports from Russia in January-February was 15.68 million tonnes, which is equivalent to 1.94 million barrels per day (mbpd), an increase of 23.8 per cent from 1.57 mbpd during the same period the year before.

This comes as a US-led global initiative along with G7 countries, the European Union and Australia imposed a $60 per barrel cap on Russian oil. Meanwhile, the Organization of the Petroleum Exporting Countries plus grouping (OPEC+) which includes Russia, has announced an additional 1.16 million barrels per day of supply cut. This takes effect next month.

During FY23, by providing discounts amidst the Ukraine conflict, Russia became a significant provider of oil to Indian refiners for the first time. As a result, in the 11 months leading up to February of the previous fiscal year, India imported crude oil worth $27 billion from its strategic partner, placing the Russian Federation in second place for Indian oil imports. Additionally, the discounted Russian oil aided India in satisfying the rising demand for petroleum products. India consumed 222.30 million tonnes of petroleum products&nbsp;in FY23,&nbsp;10.2 per cent more than in the previous year.

(With inputs from agencies)

WATCH WION LIVE HERE

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

You can now write for wionews.com and be a part of the community. Share your stories and opinions with us <a href="https://www.wionews.com/content-contribution-registration-form">here</a>.

The discount given by Russia to India for crude oil has decreased as China's demand for the product rockets. Quoting two Indian government officials in the know, Mint reports that the steep discounts the country enjoyed through most of FY23 have plunged due to Chinese demand and a cut at oil producers' end.

The discount given by Russia to India for crude oil has decreased as China's demand for the product rockets. Quoting two Indian government officials in the know, Mint reports that the steep discounts the country enjoyed through most of FY23 have plunged due to Chinese demand and a cut at oil producers' end. The Russian invasion of Ukraine, back in February 2022, sparked a slew of Western sanctions. Following this, as Moscow was left scrambling for buyers for its crude oil, India stepped up as a major buyer and managed to secure discounts of up to $15-20 a barrel. As per the Mint report, these discounts have now fallen below $10 and have even touched $5. Also read | Explosions reported throughout Ukraine; Council of Europe says Russia's deportation of children 'genocide' “With Russian oil finding more buyers, the discounts to Indian refiners have been coming down. Earlier, we were getting discounts that varied from cargo to cargo," one official told Mint, on the condition of anonymity. “We used to get around $15-20 per barrel discount on Russian oil cargoes depending on what used to be the price in the spot market. That discount has become less now," said the second official. However, recently, China, which happens to be the world's second-largest oil buyer, has become one of the top buyers of Russian oil. As per Chinese government data, while earlier Saudi Arabia was the country's top oil supplier, Russia has taken over the position during January and February 2023. Also read | India tells China peace along borders will define bilateral ties China's General Administration of Customs in March released data that showed the number of imports from Russia in January-February was 15.68 million tonnes, which is equivalent to 1.94 million barrels per day (mbpd), an increase of 23.8 per cent from 1.57 mbpd during the same period the year before. This comes as a US-led global initiative along with G7 countries, the European Union and Australia imposed a $60 per barrel cap on Russian oil. Meanwhile, the Organization of the Petroleum Exporting Countries plus grouping (OPEC+) which includes Russia, has announced an additional 1.16 million barrels per day of supply cut. This takes effect next month. During FY23, by providing discounts amidst the Ukraine conflict, Russia became a significant provider of oil to Indian refiners for the first time. As a result, in the 11 months leading up to February of the previous fiscal year, India imported crude oil worth $27 billion from its strategic partner, placing the Russian Federation in second place for Indian oil imports. Additionally, the discounted Russian oil aided India in satisfying the rising demand for petroleum products. India consumed 222.30 million tonnes of petroleum products in FY23, 10.2 per cent more than in the previous year. (With inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

India losing 'steep discounts' on Russian crude oil due to China: Report

Oil prices rose on Thursday, paring earlier losses. But the recovery is too little after the commodity slipped more than 4% overnight.

Crude prices slip 4% over recession fears

Pakistan has made its first order for discounted Russian crude oil, according to an agreement between Islamabad and Moscow, the country's petroleum minister said.&nbsp;

As Moscow diverts oil from western markets due to the Ukraine war, the purchase of Pakistan gives Moscow a new market, boosting its sales to India and China, said&nbsp;a Reuters report.

Analysts say Pakistan would have found it difficult to accept the crude agreement, but the country desperately needs financing. Pakistan is a long-time ally of the West and the arch-rival of India, which is historically closer to Moscow.

As Pakistan experiences a severe balance of payments problem and faces the possibility of defaulting on its debt obligations, discounted crude offers relief. The central bank's foreign exchange reserves hardly have enough money to last four weeks of regulated imports.

The majority of the nation's foreign payments are made in the form of energy purchases.

Under the deal, Pakistan will buy only crude, not refined fuels, Minister Musadik Malik told Reuters late on Wednesday. Imports are expected to reach 100,000 barrels per day (bpd) if the first transaction goes through smoothly, he said.

ALSO READ |&nbsp;<a href="https://www.wionews.com/world/exclusive-afghan-child-of-war-once-a-refugee-dr-waheed-arian-now-heals-ailing-in-war-zones-584559">EXCLUSIVE | Afghan child of war, once a refugee, Dr Waheed Arian now heals ailing in war zones</a>

Our orders are in, we have placed that already," he said, confirming source-based information that the country would not buy refined products.

The final agreement was struck recently, according to a Reuters&nbsp;source in Moscow with knowledge of the negotiations&nbsp;

An inquiry for comments was not answered by the Russian authorities.

Two trading sources acquainted with the conversations claimed that major Russian oil corporations have recently discussed the potential delivery of oil to Pakistan but have refrained from disclosing the names of potential suppliers. Under the condition of anonymity, one of the individuals claimed that Russia intended to provide Pakistan with Urals crude.

According to statistics from analytics company Kpler, Islamabad bought 154,000 bpd of oil in 2022, roughly maintaining the level from the previous year.

ALSO READ |&nbsp;<a href="https://www.wionews.com/south-asia/pakistan-three-killed-in-landslide-in-khyber-pass-over-20-trucks-buried-583949">Pakistan: Three killed in landslide in Khyber Pass, over 20 trucks buried</a>

Saudi Arabia, the biggest exporter in the world, and the United Arab Emirates were the main suppliers of the crude. The 100,000 bpd from Russia should significantly reduce Pakistan's dependence on fuel from the Middle East.

After leading a trip to Islamabad in January, Russian Energy Minister Nikolay Shulginov declared that oil supplies to Pakistan could start after March.

Since early February, Pakistan and the International Monetary Fund (IMF) have been negotiating the release of a $1.1 billion tranche of a $6.5 billion bailout that was agreed upon January 2019.

(With inputs from agencies)

WATCH WION LIVE HERE:

<iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed" style="width:100%;max-width:560px;" width="560"></iframe>

Pakistan has made its first order for discounted Russian crude oil, according to an agreement between Islamabad and Moscow, the country's petroleum minister said.

Pakistan has made its first order for discounted Russian crude oil, according to an agreement between Islamabad and Moscow, the country's petroleum minister said. As Moscow diverts oil from western markets due to the Ukraine war, the purchase of Pakistan gives Moscow a new market, boosting its sales to India and China, said a Reuters report. Analysts say Pakistan would have found it difficult to accept the crude agreement, but the country desperately needs financing. Pakistan is a long-time ally of the West and the arch-rival of India, which is historically closer to Moscow. As Pakistan experiences a severe balance of payments problem and faces the possibility of defaulting on its debt obligations, discounted crude offers relief. The central bank's foreign exchange reserves hardly have enough money to last four weeks of regulated imports. The majority of the nation's foreign payments are made in the form of energy purchases. Under the deal, Pakistan will buy only crude, not refined fuels, Minister Musadik Malik told Reuters late on Wednesday. Imports are expected to reach 100,000 barrels per day (bpd) if the first transaction goes through smoothly, he said. ALSO READ | EXCLUSIVE | Afghan child of war, once a refugee, Dr Waheed Arian now heals ailing in war zones Our orders are in, we have placed that already," he said, confirming source-based information that the country would not buy refined products. The final agreement was struck recently, according to a Reuters source in Moscow with knowledge of the negotiations An inquiry for comments was not answered by the Russian authorities. Two trading sources acquainted with the conversations claimed that major Russian oil corporations have recently discussed the potential delivery of oil to Pakistan but have refrained from disclosing the names of potential suppliers. Under the condition of anonymity, one of the individuals claimed that Russia intended to provide Pakistan with Urals crude. According to statistics from analytics company Kpler, Islamabad bought 154,000 bpd of oil in 2022, roughly maintaining the level from the previous year. ALSO READ | Pakistan: Three killed in landslide in Khyber Pass, over 20 trucks buried Saudi Arabia, the biggest exporter in the world, and the United Arab Emirates were the main suppliers of the crude. The 100,000 bpd from Russia should significantly reduce Pakistan's dependence on fuel from the Middle East. After leading a trip to Islamabad in January, Russian Energy Minister Nikolay Shulginov declared that oil supplies to Pakistan could start after March. Since early February, Pakistan and the International Monetary Fund (IMF) have been negotiating the release of a $1.1 billion tranche of a $6.5 billion bailout that was agreed upon January 2019. (With inputs from agencies) WATCH WION LIVE HERE:

Pakistan purchases first cargo of discounted Russian oil

The price of crude oil dropped by more than $1 a barrel as traders booked profits after benchmarks reached multi-month highs the previous session and an OPEC report fueled concerns about summer demand. Only the second time this month did the global benchmark Brent crude finish lower, down $1.24 or 1.4% to settle at $86.09 per barrel. US West Texas Intermediate (WTI) prices fell $1.10, or 1.3%, to $82.16 per barrel at the market close.

Crude oil prices decline 1% after scaling multi-month highs

The Indian government has provided some respite to the crude oil industry. The government has slashed windfall gains tax on domestic crude oil to nil from Rs 3,500 per tonne. The government also halved the tax on diesel exports to 50 paise per litre. The levies on the export of aviation turbine fuel (ATF) and petrol continue to be nil.

Why has India slashed the windfall tax on crude oil to zero?

Russia's budget has become too reliant on oil income to cover expenses, warned economists and said that if crude prices do not rise as anticipated this year, the government may be forced to increase taxes, showed a Reuters report.

War, oil price cap to weigh on Russia's budget; Moscow likely to hike tax

According to Goldman Sachs Group, a barrel of Brent oil could reach $110 by the third quarter if China and other Asian economies fully reopen from coronavirus restrictions.

World Business Watch: Goldman sees $110 oil by third quarter on full China reopening

President Vladimir Putin has delivered Russia’s long-awaited response to a western price cap, signing a decree that bans the supply of crude oil and oil products to nations that impose the cap. The ban will come into effect on 1 February and last for five months.

Russia bans oil exports to countries that imposed price cap

Chinese President Xi Jinping embarked on his three-day official visit to Saudi Arabia on Wednesday, his first such visit to the biggest exporter of crude oil since 2016, reported the Saudi state media on Tuesday.&nbsp;Crown Prince Mohammed bin Salman is expected to mark&nbsp;Xi's arrival by extending a lavish welcome. Diplomats in the region are saying that it may contrast starkly with the muted reception offered to US&nbsp;President Joe Biden in July.

During the visit, a bilateral summit chaired by Saudi King Salman bin Abdulaziz Al Saud&nbsp;will also be attended by the kingdom's de facto ruler Crown Prince Mohammed bin Salman, reported the official Saudi Press Agency.

ALSO READ|&nbsp;<a href="https://www.wionews.com/world/chinas-former-leader-hu-jintao-makes-first-public-appearance-after-dramatic-congress-exit-540555">China's former leader Hu Jintao makes first public appearance after dramatic Congress exit</a>

The state news agency stated that Xi will also take part in a summit which will be attended by the six-member Gulf Co-operation Council's rulers and hold talks with the leaders from the Middle East, stated the state news agency.

The tour of the Chinese leader coincides with the increased tensions between the United States and Saudi Arabia over issues like regional security, human rights and energy policy.

The partnership between the US and Saudi Arabia suffered the latest blow in October when the OPEC+ oil bloc decided to decrease crude oil production by two million barrels per day, a step the White House claimed amounted to "aligning with Russia" on the Ukraine war.

ALSO READ|&nbsp;<a href="https://www.wionews.com/world/china-may-announce-10-new-covid-19-measures-on-wednesday-report-540225">China may announce new COVID-19 easing measures on Wednesday: Report</a>

In its latest meeting on Sunday, OPEC+ decided to keep those cuts unchanged. China is the biggest customer of Saudi Arabia's crude oil and has been purchasing around a quarter of the total exported Saudi oil.

According to analysts, the two leaders, apart from energy, will be discussing potential deals which can lead to Chinese firms'&nbsp;deeper involvement in mega-projects which are part of Prince Mohammed's vision of diversifying the economy of Saudi Arabia beyond oil.

(With inputs from agencies)

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

Chinese President Xi Jinping embarked on his three-day official visit to Saudi Arabia on Wednesday, his first such visit to the biggest exporter of crude oil since 2016, reported the Saudi state media on Tuesday.

Chinese President Xi Jinping embarked on his three-day official visit to Saudi Arabia on Wednesday, his first such visit to the biggest exporter of crude oil since 2016, reported the Saudi state media on Tuesday. Crown Prince Mohammed bin Salman is expected to mark Xi's arrival by extending a lavish welcome. Diplomats in the region are saying that it may contrast starkly with the muted reception offered to US President Joe Biden in July. During the visit, a bilateral summit chaired by Saudi King Salman bin Abdulaziz Al Saud will also be attended by the kingdom's de facto ruler Crown Prince Mohammed bin Salman, reported the official Saudi Press Agency. ALSO READ| China's former leader Hu Jintao makes first public appearance after dramatic Congress exit The state news agency stated that Xi will also take part in a summit which will be attended by the six-member Gulf Co-operation Council's rulers and hold talks with the leaders from the Middle East, stated the state news agency. The tour of the Chinese leader coincides with the increased tensions between the United States and Saudi Arabia over issues like regional security, human rights and energy policy. The partnership between the US and Saudi Arabia suffered the latest blow in October when the OPEC+ oil bloc decided to decrease crude oil production by two million barrels per day, a step the White House claimed amounted to "aligning with Russia" on the Ukraine war. ALSO READ| China may announce new COVID-19 easing measures on Wednesday: Report In its latest meeting on Sunday, OPEC+ decided to keep those cuts unchanged. China is the biggest customer of Saudi Arabia's crude oil and has been purchasing around a quarter of the total exported Saudi oil. According to analysts, the two leaders, apart from energy, will be discussing potential deals which can lead to Chinese firms' deeper involvement in mega-projects which are part of Prince Mohammed's vision of diversifying the economy of Saudi Arabia beyond oil. (With inputs from agencies)

Chinese President Xi Jinping arrives in Riyadh on Wednesday, will meet Saudi and Arab leaders

A media report on Thursday stated that a Pakistani delegation failed to get its demand of a 30-40% discount on crude oil sanctioned from their Russian counterpart, as the latter refused any help and said that all volumes were committed.&nbsp;The delegation, consisting of State Minister for Petroleum Musadik Malik, Secretary Petroleum Capt (retd) Muhammad Mahmood, joint secretary and Pakistan Embassy officials, had requested for a discount on crude oil during their meeting in Moscow on Wednesday.

Also read |&nbsp;<a href="https://www.wionews.com/world/china-eases-covid-restrictions-in-beijing-hints-at-possible-change-in-stance-report-539115">China eases Covid restrictions in Beijing, hints at possible change in stance</a> 
 
The reports stated that the talks failed to reach a conclusion but the Russian delegation said that it will consider the demands of Pakistan in future and relay its decision through diplomatic channels. 
 
Pakistan was further asked by the Russian delegation to first fulfil its commitment towards the Russian proposed Pakistan Stream Gas Pipeline (PSGP), which will be constructed from Karachi to Lahore.

Also read |&nbsp;<a href="https://www.wionews.com/world/eurozone-unemployment-drops-to-all-time-low-post-pandemic-recovery-slowed-by-global-headwinds-539136">Eurozone unemployment drops to record low as global headwinds slacken economy</a> 
 
On November 29, the official delegation of Pakistan left for a three-day visit to Moscow to hold talks with Russian authorities and discuss the import of crude oil at a discount, shipment cost and mode of payment. 
 
The US had clearly stated that it has no objection if Pakistan imports Russian crude oil as currently, Washington has not issued any sanctions against Russian energy exports to other nations. 
 
Before holding talks with Russia, Finance Minister Ishaq Dar had stated that the delegation would try to reach a potential import deal with the Russian oil authorities.

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

A media report on Thursday stated that a Pakistani delegation failed to get its demand of a 30-40% discount on crude oil sanctioned from their Russian counterpart, as the latter refused any help and said that all volumes were committed.

A media report on Thursday stated that a Pakistani delegation failed to get its demand of a 30-40% discount on crude oil sanctioned from their Russian counterpart, as the latter refused any help and said that all volumes were committed. The delegation, consisting of State Minister for Petroleum Musadik Malik, Secretary Petroleum Capt (retd) Muhammad Mahmood, joint secretary and Pakistan Embassy officials, had requested for a discount on crude oil during their meeting in Moscow on Wednesday. Also read | China eases Covid restrictions in Beijing, hints at possible change in stance The reports stated that the talks failed to reach a conclusion but the Russian delegation said that it will consider the demands of Pakistan in future and relay its decision through diplomatic channels. Pakistan was further asked by the Russian delegation to first fulfil its commitment towards the Russian proposed Pakistan Stream Gas Pipeline (PSGP), which will be constructed from Karachi to Lahore. Also read | Eurozone unemployment drops to record low as global headwinds slacken economy On November 29, the official delegation of Pakistan left for a three-day visit to Moscow to hold talks with Russian authorities and discuss the import of crude oil at a discount, shipment cost and mode of payment. The US had clearly stated that it has no objection if Pakistan imports Russian crude oil as currently, Washington has not issued any sanctions against Russian energy exports to other nations. Before holding talks with Russia, Finance Minister Ishaq Dar had stated that the delegation would try to reach a potential import deal with the Russian oil authorities.

Pakistan’s hopes dashed, delegation fails to get crude oil on discount from Moscow

India has taken a call to double its trade with Russia. The decision comes amidst staggering US led sanctions and Russia owing to its Ukraine invasion. The increase in trade comes mainly in the backdrop of sharply higher imports of discounted Russian crude oil by India.

India to double its trade with Russia, sharp rise in Russian crude imports

As Sri Lanka grapples with a major power outage, a senior government official has blamed the poor quality of crude oil imports for the shutdown of a power plant, resulting in extended power cuts.&nbsp;

Chief of the Public Utilities Commission—which oversees electric power distribution, water supply, and petroleum resources— Janaka Ratnayake claimed that high sulphur content in oil had massively impacted the electricity generation capacity of a power station. &nbsp;

"Sulphur content is too high in the furnace oil [fuel oil] which is not suitable for the current power plants and it's also not conforming with environmental standards," Ratnayake told the BBC.&nbsp;

The accusation of the government official came a week after the Colombo government extended the power cuts from 80 minutes to 140 minutes because of a fall in power generating capacity.&nbsp;

Around 10 per cent of the country's electricity comes from diesel and fuel oil power plants, while the rest of the power is generated from hydro, renewable and coal-powered plants, Ratnayake said.&nbsp;

However, the charge was vehemently opposed by Sri Lanka’s Power and Energy Minister Kanchana Wijesekara, who threatened to take legal action against Ratnayake.&nbsp;

Taking to Twitter, Wijesekara said that the power cut duration was increased because one of the hydro-power stations broke down and also due to insufficient funds to import diesel and fuel oil.&nbsp;

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<blockquote class="twitter-tweet">
CPC will respond legally to Chairman, PUCSL on the accusations on the quality of Crude Oil. CPC has adequate stocks of Diesel &amp; Fuel Oil. Extended Power Cuts was requested by CEB due to breakdown at Lakshapana, insufficient funds at CEB for diesel &amp; fuel oil &amp; Hydro management.
— Kanchana Wijesekera (@kanchana_wij) <a href="https://twitter.com/kanchana_wij/status/1574282393225433088?ref_src=twsrc%5Etfw">September 26, 2022</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

“CPC (Ceylon Petroleum Corporation)&nbsp;will respond legally to Chairman, PUCSL on the accusations on the quality of Crude Oil. CPC has adequate stocks of Diesel &amp; Fuel Oil. Extended Power Cuts was requested by CEB due to breakdown at Lakshapana, insufficient funds at CEB for diesel &amp; fuel oil &amp; Hydro management,” he said.&nbsp;

Meanwhile, the Ceylon Electricity Board Engineer's Union gas warned that daily power cuts might be extended to ten hours a day, if coal is not received by&nbsp;October 25&nbsp;

Currently, the coal stock is sufficient only till October 25, according to News 1.&nbsp;

(With inputs from agencies)&nbsp;

WATCH WION LIVE HERE:&nbsp;

<iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe>

As Sri Lanka grapples with a major power outage, a senior government official has blamed the poor quality of crude oil imports for the shutdown of a power plant, resulting in extended power cuts.

As Sri Lanka grapples with a major power outage, a senior government official has blamed the poor quality of crude oil imports for the shutdown of a power plant, resulting in extended power cuts. Chief of the Public Utilities Commission—which oversees electric power distribution, water supply, and petroleum resources— Janaka Ratnayake claimed that high sulphur content in oil had massively impacted the electricity generation capacity of a power station. "Sulphur content is too high in the furnace oil [fuel oil] which is not suitable for the current power plants and it's also not conforming with environmental standards," Ratnayake told the BBC. The accusation of the government official came a week after the Colombo government extended the power cuts from 80 minutes to 140 minutes because of a fall in power generating capacity. Around 10 per cent of the country's electricity comes from diesel and fuel oil power plants, while the rest of the power is generated from hydro, renewable and coal-powered plants, Ratnayake said. However, the charge was vehemently opposed by Sri Lanka’s Power and Energy Minister Kanchana Wijesekara, who threatened to take legal action against Ratnayake. Taking to Twitter, Wijesekara said that the power cut duration was increased because one of the hydro-power stations broke down and also due to insufficient funds to import diesel and fuel oil. CPC will respond legally to Chairman, PUCSL on the accusations on the quality of Crude Oil. CPC has adequate stocks of Diesel & Fuel Oil. Extended Power Cuts was requested by CEB due to breakdown at Lakshapana, insufficient funds at CEB for diesel & fuel oil & Hydro management. — Kanchana Wijesekera (@kanchana_wij) September 26, 2022 × “CPC (Ceylon Petroleum Corporation) will respond legally to Chairman, PUCSL on the accusations on the quality of Crude Oil. CPC has adequate stocks of Diesel & Fuel Oil. Extended Power Cuts was requested by CEB due to breakdown at Lakshapana, insufficient funds at CEB for diesel & fuel oil & Hydro management,” he said. Meanwhile, the Ceylon Electricity Board Engineer's Union gas warned that daily power cuts might be extended to ten hours a day, if coal is not received by October 25 Currently, the coal stock is sufficient only till October 25, according to News 1. (With inputs from agencies) WATCH WION LIVE HERE:

Sri Lanka power cut: Govt official blames poor oil quality, minister threatens legal action 

The Suez Canal was once again in the news on Wednesday as a 250-metre-long oil tanker called 'Affinity V' got stuck in the narrow southern section. It was around the same place where the container ship 'Ever Given' was stuck in 2021 causing massive problems for the supply chain moving through the region.&nbsp;

Affinity V, a crude oil tanker bound for Saudi Arabia from Portugal, was stuck for around 4-5 hours before it was finally able to move forward. According to the Suez Canal Authority, the vessel was refloated with the help of tugboats and the busy route was back to normal in the next couple of hours.&nbsp;

Also read |&nbsp;<a href="https://www.wionews.com/world/canadian-spy-accused-of-smuggling-shamima-begum-to-syria-trudeau-vows-proper-oversight-511976">Shamima Begum: Justin Trudeau to ‘follow up’ Canadian spy claim</a>

“Affinity ran aground at around 7.15 pm local time on Wednesday, and was refloated five hours later,”&nbsp;George Safwat, a spokesman for Suez Canal Authority, told&nbsp;Egyptian government-affiliated Extra News.&nbsp;

The Guardian reported that the steering systems in Affinity V started malfunctioning and that was the reason why it ran aground. “She temporarily clogged up traffic and is now facing south again, but moving slowly by tugboat assistance,” ship monitoring service&nbsp; TankerTrackers tweeted.&nbsp;

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<blockquote class="twitter-tweet">
At around 17:00 UTC today (2022-08-31), the Aframax tanker AFFINITY V (9645401) seemed to have lost control in the Suez Canal while heading southbound. She temporarily clogged up traffic and is now facing south again, but moving slowly by tugboat assistance. via <a href="https://twitter.com/MarineTraffic?ref_src=twsrc%5Etfw">@MarineTraffic</a> <a href="https://t.co/ECstNLPtbc">pic.twitter.com/ECstNLPtbc</a>
— TankerTrackers.com, Inc. (@TankerTrackers) <a href="https://twitter.com/TankerTrackers/status/1565111625518030848?ref_src=twsrc%5Etfw">August 31, 2022</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

The whole incident reminded people about the 'Ever Given; controversy where the shipping company had to pay the Suez Canal Authority around $200 million in compensation after blocking traffic on one of the fast routes connecting Europe and Asia.

However, the size of the Affinity V was not as big as Ever Given which helped in completing the recovery. While Ever Given was 400-metre-long, Affinity V was 252 metres long and 45 metres wide.

(With inputs from agencies)

The Suez Canal was once again in the news on Wednesday as a 250-metre-long oil tanker called 'Affinity V' got stuck in the narrow southern section. It was around the same place where the container ship 'Ever Given' was stuck in 2021 causing massive problems for the supply chain moving through the region.

The Suez Canal was once again in the news on Wednesday as a 250-metre-long oil tanker called 'Affinity V' got stuck in the narrow southern section. It was around the same place where the container ship 'Ever Given' was stuck in 2021 causing massive problems for the supply chain moving through the region. Affinity V, a crude oil tanker bound for Saudi Arabia from Portugal, was stuck for around 4-5 hours before it was finally able to move forward. According to the Suez Canal Authority, the vessel was refloated with the help of tugboats and the busy route was back to normal in the next couple of hours. Also read | Shamima Begum: Justin Trudeau to ‘follow up’ Canadian spy claim “Affinity ran aground at around 7.15 pm local time on Wednesday, and was refloated five hours later,” George Safwat, a spokesman for Suez Canal Authority, told Egyptian government-affiliated Extra News. The Guardian reported that the steering systems in Affinity V started malfunctioning and that was the reason why it ran aground. “She temporarily clogged up traffic and is now facing south again, but moving slowly by tugboat assistance,” ship monitoring service TankerTrackers tweeted. At around 17:00 UTC today (2022-08-31), the Aframax tanker AFFINITY V (9645401) seemed to have lost control in the Suez Canal while heading southbound. She temporarily clogged up traffic and is now facing south again, but moving slowly by tugboat assistance. via @MarineTraffic pic.twitter.com/ECstNLPtbc — TankerTrackers.com, Inc. (@TankerTrackers) August 31, 2022 × The whole incident reminded people about the 'Ever Given; controversy where the shipping company had to pay the Suez Canal Authority around $200 million in compensation after blocking traffic on one of the fast routes connecting Europe and Asia. However, the size of the Affinity V was not as big as Ever Given which helped in completing the recovery. While Ever Given was 400-metre-long, Affinity V was 252 metres long and 45 metres wide. (With inputs from agencies)

Suez Canal blocked again as Saudi Arabia-bound crude oil tanker Affinity V gets stuck, clogs traffic

crude-oil

Crude Oil, News on Crude Oil, stories on Crude Oil, articles on Crude Oil, Crude Oil stories at Wion, Crude Oil news, Crude Oil latest news