Oil Minister: India ready to handle any oil shortages caused by Middle East conflict
Hardeep Singh Puri, the oil minister of India, said that India would be able navigate any potential disruption to its oil supply from a possible expansion of the Middle East conflict.
India, which is the third largest oil consumer and importer in the world, imports 85% of their daily oil requirements of over 5 million barrels. A large part of this oil comes from Middle East producers.
Brent oil is now nearing $80 per barrel due to concerns about a larger Middle East conflict.
"We are very closely monitoring the situation." Puri stated at an event to introduce the ExxonMobil Global Energy Outlook 2024 that energy availability could be affected by an intensification of the Middle East crisis.
Puri stated that India would be able navigate the situation, as the market was awash in oil supplies.
Today, the oil supply in the world is greater than its consumption. "If some parties delay the availability of oil, there will be new suppliers on the market," he said. In recent years, the Organization of the Petroleum Exporting Countries and its allies, including Russia, collectively known as OPEC+ have cut oil production to maintain prices due to weak global demand.
The Group will increase production starting in December.
"I don't think there will be a shortage of oil anywhere in the world for the next few years." We have plenty of oil and many options to choose from. Puri stated that "we have always ensured adequate availability and we will continue to do so in the future."
Fears that the conflict in the Middle East would escalate contributed to India's Nifty and S&P BSE Sensex indexes ending the day 0.87% lower and 0.78% below their respective benchmarks. Varun Hebbalalu, Sonia Cheema, and Andrea Ricci edited the article.
(source: Reuters)
