Indian Oil Corporation (IOC) has floated a tender to purchase 24 million barrels of crude oil from the Americas for delivery between January and March 2026, marking a strategic move as global energy trade adjusts to geopolitical developments. The state-run refiner is inviting offers at a time when Indian companies have paused fresh orders of Russian crude following recent U.S. sanctions on Moscow’s top oil producers.
The tender seeks delivery over the first quarter of next year and is viewed as an effort to gauge supplier interest and secure cargoes if required. Since 2022, Russia has been a major supplier of discounted crude to India, making it the country’s largest seaborne buyer of Russian barrels. However, the latest sanctions have prompted refiners to consider spot market alternatives to ensure uninterrupted supply.
Officials have indicated that four Russian oil companies have been sanctioned, but supplies from Rosneft — which handles nearly 45 percent of shipments to India — could continue through non-sanctioned intermediaries acting as aggregators. Despite that possibility, IOC’s tender suggests an active diversification approach and reflects broader caution among Indian refiners assessing compliance risks and future supply disruptions.
India’s refiners have been buyers of Russian crude since the Ukraine conflict began in 2022, capitalizing on discounted barrels. The new sanctions have temporarily slowed fresh contracting activity, prompting some refiners to scout for barrels from other regions, including the U.S. and Latin America.
IOC’s strategic tender does not necessarily signal a shift away from Russian imports but highlights its preparedness amid evolving geopolitical dynamics. The outcome will be closely tracked as global crude flows continue to adjust ahead of 2026.
