Daily Energy Market
Last few days have seen the world of crude oil markets undergo many turbulent events resulting in oil prices moving beyond $90/bbl and trigger fears of prices touching $100/bbl.
Great to be featured, with the start of the new season, in the Energy Insights show which was moderated brilliantly, as usual, by Dyala Sabbagh and featuring a distinguished panel of experts – Andrei Belyi and Omar Al- Ubaydli.
Key Points
- Indian imports of Russian oil have come down to ~ 35% from 40%+ due to refinery maintenance schedules in India, lesser discount on Urals grade and issues in settling the payments with Russia.
- Indian oil demand will be firm in the next few months due to the onset of the festive season.
- Indian government will be highly concerned with the increase in crude oil prices as it will pressurize the government`s finance especially with the general elections on the anvil.
- India has been able to secure supplies of oil from the traditional suppliers – Saudi Arabia and Iraq which underscores India`s clout with the OPEC suppliers.
- India will be keen to showcase it strength as a global superpower with the G20 summit in New Delhi this week.
- India will play a balancing role in the BRICS expansion and will be reluctant to support a BRICS currency given its relations with the western world.
Good read!
Very insightful for the oil markets !! Nice blog Ram !!👏👏
Hydrocarbon will continue to play a lead role despite climate warming. For some years to come it is hydrocarbon AND renewables. Affordability and availability of renewables are major concerns. So oil prices will continue to fluctuate. Thanks ram for sharing your perspective.
Agree Rajesh. We cant wish away the fossil fuels completely. It will continue to play a role in the global energy mix
Quite insightful and informative discussion, Ram. Agree with you that Indian oil demand will remain high on the upcoming quarter. Rising oil price can destabilise Govt.’s endeavour to reduce inflation.