MOSCOW, Jan 26 (Reuters) – Russian Urals crude cargoes at Indian ports in February were trading close to the highest Brent crude prices since 2022 as pressure from Western sanctions intensified, two sources said.
Urals oil cargoes supplied in February are trading at a $10 per barrel discount to Brent crude delivered at Indian ports, two sources said, an increase of an estimated $3-5 per barrel from cargoes loaded last autumn and close to the largest discount on record.
In late 2025, the United States imposed its toughest sanctions on the Russian energy industry, targeting oil giants Lukoil and Rosneft. It also imposed an additional 25% import tariff on Indian goods, a move related to New Delhi’s continued imports of Russian oil.
U.S. Treasury Secretary Scott Bessant said on Friday that an additional 25% tariff on India may be lifted after India’s imports of Russian oil fell sharply.
New Delhi has cut oil imports from Moscow over the past two months, with sanctions forcing more Russian oil to be shipped to China.
One trader said the deep discounts on offer could attract more Indian refiners and help place more oil with them, but added that New Delhi was looking for alternatives to Urals amid pressure from the West.
India’s largest refiner Indian Oil Corp has bought 7 million barrels of oil, including Petrobras’ oil, for March loading to replace Russian oil, two trade sources familiar with the matter said.
Urals crude has been the main feedstock for Indian refineries since 2023, with Moscow diverting the crude to Asia after the European Union restricted Russian energy use.
(Reporting by Reuters; Editing by Jan Harvey)