Russia’s biggest oil producer Rosneft and India’s biggest oil refiner Indian Oil Corp have agreed to use Dubai instead of Brent to calculate oil prices, Reuters reports.
European traders and oil companies use Brent oil for sales, Asian and Middle Eastern traders use Dubai. The quotations of the two reference grades are expressed in dollars. The move to Dubai signals a redistribution of Russian energy sales to Asia after sanctions were imposed on them in the West, the publication said.
According to the agency, Rosneft will double India’s oil supply under the new deal and sell up to 11 million barrels per month from April 2023. India has become the largest importer of Russian oil in March, followed by China. Earlier it was reported that Russia emerged as the leader in gas and oil supplies to China earlier this year.
The cost of oil on the global market shifted to growth earlier this week after OPEC+ countries announced a voluntary production cut.
Reuters: Russia, India to price Dubai oil instead of Brent
