India to buy $ 1 billion of US crude oil
oil companies have started the process of procuring crude oil from the United States, following the visit of Prime Minister Modi, to the US in the June 2017. Six weeks after the visit, the first orders for $ 1 billion of crude were placed.
Indian Oil Corporation and Bharat Petroleum have already taken delivery of the first 2 MMbbl that have shipped from ports in Texas and Louisiana. The first shipments will reach Paradip (Odisha, India) in the last week of September.
India is the third largest consumer of energy in the world following the US and China, and the third larg- est importer of crude and the fourth largest importer of LNG. In terms of energy, India today consumes less than 5% of the world energy. Indian oil companies are increasing their footprint in the United States. Four Indian public and private sector companies—GAIL, IOCL, Oil India and Reliance—have invested approximately $ 5 b in shale assets. India will also source LNG from the United States. Indian companies have already contracted 9 MMtpy of LNG from the US and the first shipment is expected in January 2018.