Multi-fold increase in Indian gasoil exports to Singapore in May

As Indian refiners have stepped up purchases of discounted Russian crude oil while other global buyers have shied away, more attractively priced gasoil and diesel has been produced in India and freed up for exports to Singapore, sources say.

PHOTO: Several gasoil and diesel cargoes have been exported to Singapore from the Indian Port of Sikka by the Jamnagar refinery complex in recent months. Bechtel

Cargo tracker Vortexa estimates that India’s gasoil and diesel exports to Singapore surged to 67,000 b/d in May, almost 10 times higher than April’s 7,000 b/d. While ultra-low sulphur diesel (ULSD), a road fuel, made up 100% of these exports in April, the ratio changed to 60% ULSD and 40% gasoil in May.

Gasoil produced at Indian refineries could have found its way to Singapore’s bunker market. The general gasoil and diesel export trend is expected to continue into this month as Indian refiners carry on buying and refining discounted Russian crude to reap big export profits, a trader says.