Key Points
India has made a rare request to its state-run oil refiners and private processor Reliance Industries Ltd. to jointly negotiate a long-term supply deal with Russia, according to people familiar with the matter...
The government wants its refiners to lock in at least a third of their contracted supply from Russia at a fixed discount to help shield the nations economy from volatile prices, the people said, asking not to be named due to the sensitivity of talks..
However, Reliance is unlikely to share sensitive information with the state oil refiners given theyre competitors in the domestic fuel market, stifling the governments efforts at collaboration, they said...
State refiners have been seeking oil at a discount of more than $5 a barrel to Dated Brent, but Moscow is offering crude at a discount of $3 and is showing an unwillingness to budge, according to the people..
Indian Oil is the only state refiner to previously have a long-term supply deal with Russia, but that expired at the end of March and hasnt been renewed due to a lack of consensus on volumes and price..
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