The ministry mentioned that such changes are common in the global oil trade.

Snapshot AI

  • India denies Iranian crude shipment diverted to China
  • No payment issues for Iranian crude imports, says ministry
  • India’s energy supplies remain secure despite global tensions

The Ministry of Petroleum and Natural Gas, on Saturday, dismissed recent reports that an Iranian crude oil shipment had been diverted from India to China due to payment issues, calling such claims “factually incorrect” and reassuring that the country’s energy supplies remain secure.

In a statement posted on X, the ministry said, “The news reports and social media posts of an Iranian crude cargo being diverted from Vadinar, India to China due to ‘payment issues’ are factually incorrect.”

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It added that Indian refiners have already secured their crude oil requirements, including supplies from Iran, despite disruptions in the Middle East amid the ongoing Iran war.

“There is no payment hurdle for Iranian crude imports, contrary to the rumours being circulated,” the ministry said, emphasising that India sources crude from over 40 countries and companies have full flexibility to adjust sourcing based on commercial considerations.

The clarification follows reports surfacing earlier this week that the US-sanctioned tanker Ping Shun, carrying Iranian crude, had altered its course toward China after earlier signalling India’s Vadinar port as its destination. Ship-tracking data from Kpler indicated that the vessel, which had been expected to deliver around 600,000 barrels of crude, changed its destination mid-voyage.

However, the ministry mentioned that such changes are common in the global oil trade.

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“Bills of Lading often carry indicative discharge ports, and on-sea cargoes can change destinations mid-voyage based on trade optimisation and operational flexibility,” it said.

India has not officially imported Iranian crude since 2019 due to U.S. sanctions, although recent reports suggested a potential resumption following a temporary waiver for cargoes already at sea.

The government also addressed concerns related to liquefied petroleum gas (LPG) supplies, calling some claims “incorrect.” It noted that the LPG vessel Sea Bird, carrying approximately 44,000 tonnes of Iranian LPG, berthed at Mangalore on April 2 and is currently discharging cargo.

Reiterating its position, the ministry said, “India’s crude oil requirements remain fully secured for the coming months,” seeking to calm concerns over supply disruptions as geopolitical tensions continue to affect global energy markets.

India has not imported crude oil from Iran since May 2019, when purchases were halted following U.S. sanctions. Any potential resumption has remained complicated due to restrictions on payments, shipping logistics, and insurance coverage.

A temporary waiver announced by U.S. President Donald Trump has allowed Iranian oil cargoes already at sea to avoid penalties for a limited period, raising expectations of a possible revival in shipments.

Earlier, Moneycontrol had reported that India could receive its first Iranian crude cargo in nearly seven years under this window, citing ship-tracking data.

According to Kpler, the tanker Ping Shun, carrying around 600,000 barrels of crude from Iran’s Kharg Island, had initially signalled Vadinar port in Gujarat as its destination. The vessel was expected to arrive by early April after a journey of about a month.

Meanwhile, a seventh India-flagged LPG tanker, Green Sanvi, crossed the Strait of Hormuz on Friday, joining six others that have already reached India. The Green Sanvi is believed to be carrying about 46,000 tonnes of LPG.