Indian Oil purchases a cargo of Russian Sokol oil in spot market

11 Nov 2022 , 07:04 AM

The leading refiner in the nation, Indian Oil Corp, has agreed to a spot deal with a trading company to purchase a cargo of Russian Sokol oil for delivery in November.

In a recent Rosneft tender, the broker got the Sokol cargo at close to parity with the Dubai benchmark. But IOC opted out of the Rosneft tender because the Russian business required prepayment.

Six cargoes of Sokol crude were made available for loading by Rosneft last month, indicating that production at the Sakhalin-1 project may be returning after the departure of former operator Exxon Mobil Corp.

Typically, ice-class vessels are used to transport cargoes of Sokol oil from the De-Kastri terminal in Russia’s Far East to South Korea, where they are then unloaded onto conventional tankers.