BPCL pivots to Abu Dhabi’s Upper Zakum for December barrels amid Russia sanctions risk

Bharat Petroleum Corporation is sourcing 2 million barrels of Upper Zakum crude for December delivery via spot purchase, moving to diversify away from Russian flows exposed to fresh U.S. sanctions. The tender comes as Indian refiners reassess cargo pipelines and counterparty exposure, balancing discounts against compliance risk. BPCL typically secures a sizable portion of spot crude from Russia; guidance now points to maintaining only non-sanctioned Russian barrels while backfilling with Middle East grades. Traders noted concurrent OPEC+ signals on supply management and firmer prompt spreads, keeping India’s refining margins and product cracks in focus into year-end.