NEW DELHI — Indian Oil Corporation (IOC), the country’s top refiner, has dramatically increased its reliance on spot market oil purchases, driving spot volume from 50% to nearly 84% to offset severe supply disruptions stemming from the Strait of Human and Red Sea following the onset of the U.S.-Iran conflict in late February. Speaking at an analyst meeting on Saturday following the release of the June quarter earnings, IOC Head of Finance Anuj Jain noted that the company is closely monitoring the dynamic situation on a day-to-day basis to optimize crude sourcing.
To counter shortfalls from the Middle East, IOC has leaned heavily on spot purchases of Russian crude alongside stepped-up imports from West African and Latin American producers. Together with its subsidiary Chennai Petroleum Corp, IOC manages roughly a third of India’s total 5.2 million barrels per day (bpd) refining capacity. Looking ahead, Jain confirmed that the corporation aims to process 1.7 million bpd at its directly owned refineries by 2027–28, supported by targeted capacity expansions across select units slated for completion by the end of the year.
