Nigeria's Crude Oil Exports Rise as Indian Refineries Focus on Non-Russian Grades

Nigeria's crude oil exports are expected to increase in September and October as Indian refineries shift their focus to non-Russian grades. Indian Oil Corp and Bharat Petroleum have purchased at least 22 million barrels of crude for delivery during this period, following pressure from the United States to stop buying Russian oil.

Indian refiners have largely avoided the spot market since 2022, with Indian Oil Corp buying Mars crude, Brazilian grades, and Libyan oil. Additionally, BPCL has purchased Nigerian, Abu Dhabi Murban, Angolan Girassol, and Mars crude.

The purchases, totaling 6 million barrels, support improved arbitrage economics for Indian refiners transporting grades from the Atlantic Basin to Asia. Dangote Petroleum Refinery has denied recent claims of production shutdown, stating that operations are running smoothly.