Petrobras joins commercial ties with India during Energy Week.
As part of the India Energy Week, held in Goa and considered one of the most relevant events in the global energy sector, Petrobras announced the renewal and expansion of its oil supply contracts with India’s main state-owned refineries.
The event, which brings together leaders, authorities and companies in the sector, has served as a platform to consolidate strategic relations with one of the largest crude oil markets in the world.
The agreements were signed with Indian Oil Corporation Limited (IOC), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum Corporation Limited (HPCL), all key institutions in India’s national oil structure. These state-owned companies play a fundamental role in the import and refining of oil to supply the Asian country’s growing domestic demand.
Details of the agreements: Volumes and economic scope
The new commercial instruments represent a potential sale of up to 60 million barrels of Brazilian oil, with a value that could exceed US$ 3.1 billion over the life of the contracts. Of this total, the relationship with **IOC, India’s largest state-owned refinery, contemplates up to 24 million barrels in an initial 12-month period, with an option to renew for another year.
The agreements with BPCL and HPCL include a significant increase in the maximum volumes stipulated. In previous contracts, these were set at 6 million barrels each; now, these amounts have been increased to 18 million barrels for each refinery, reflecting an intensified demand for Brazilian crude oil by the main players in the Indian refining market.
This increase responds both to the operational needs of the refineries and to the competitiveness of the crude offered by Petrobras compared to other import options, in an environment where India imports close to 5 million barrels per day to sustain its industrial park and domestic consumption.
Global market strategy and geopolitical projection
India, with its sustained economic growth and robust energy demand, has consolidated itself as a key importer in the global oil sector. For Petrobras, maintaining and expanding commercial relations with the country’s state-owned refineries is a significant step towards consolidating its smart internationalization strategy in the face of global market challenges, fluctuations in international prices, and competition with other crude oil suppliers.
This scenario also opens doors for future collaborations in other energy segments (including derivatives and logistics services) and strengthens Brazil’s position as a key trading partner in Asia’s energy matrix.
Source: https://agencia.petrobras.com.br/
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