HPCL well positioned to tackle any disruption due to Gaza conflict, says Chairman

15 Nov 2023 , 02:37 PM

The Middle East crisis remains the ‘centre stage’ for crude, and if it intensifies and disrupts supply from the region, Hindustan Petroleum Corp (HPCL) is prepared to cover any short-term interruptions, according to the company chairman.

‘The conflict, even if it is currently at a standstill, remains front and centre for crude, and the war premium continues to rise and fall in response to emerging headlines,’ HPCL chairman and managing director Pushp Kumar Joshi said.

Oil prices have fallen to roughly $82 per barrel from around $90, which they hit shortly after the Israel-Hamas war began last month, due to a growing belief in the oil market that the theatre of battle may remain restricted.

Joshi, who took over as CMD last year after running HPCL’s human resources division for a decade, is optimistic that any short-term supply difficulties will be met in the event of a fight spillover.

‘In case the conflict intensifies and supplies from the Middle East are disrupted, HPCL’s crude procurement is geographically adequately diverse to cover any short-term disruptions,’ the company’s CEO stated.

Since early last year, Indian refiners have been grappling with the impact from another conflict, this time between Russia and Ukraine, which has reshaped the global oil trade.

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