Russian crude with Indian touch: What is Bangladesh's new crude sourcing strategy?

Bangladesh is weighing a connection that would spot Russian crude lipid refined successful India earlier the finished substance is imported back, arsenic the state grapples with proviso pressures triggered by the Middle East conflict.

According to radical alert of the development, the statement nether information would necessitate Bangladesh to wage for the import of crude, its refining successful India, and the proscription of the refined fuel.The vigor and mineral resources part successful Bangladesh has already moved the connection guardant this week, sending a petition to the country's powerfulness and vigor curate Iqbal Hasan Mahmud Tuku. The petition seeks support to statesman discussions with the ministry of overseas affairs for a government-to-government (G2G) agreement, Dhaka-based sources told ET.This comes arsenic Bangladesh’s lone state-run refinery successful Chittagong is not considered suitable for processing Russian crude, which is predominantly heavier successful nature. With an yearly refining capableness of 1.5 cardinal tonnes, the installation is chiefly designed to grip crude from the Middle East, leaving the state reliant connected imported refined petroleum products.Energy practice betwixt India and Bangladesh has besides been successful focus, with rising diesel imports from India featuring prominently during the Bangladesh Foreign Minister’s caller sojourn to India.

The 2 countries already support cross-border vigor connectivity done a diesel pipeline moving from Siliguri to Parbatipur successful Dinajpur.That pipeline allows imports from Numaligarh Refinery Limited nether a 15-year statement signed successful 2023.A impermanent waiver connected US sanctions related to Russian lipid exports has opened a constricted model for Bangladesh to see indirect procurement routes.Additionally, Bangladesh has projected importing up to 600,000 tonnes of Russian diesel, according to earlier ET reports.In a related development, Russian Ambassador to Bangladesh Alexander Khozin met Power, Energy and Mineral Resources Minister Iqbal Hasan Mahmud Tuku past period to sermon strengthening bilateral vigor cooperation.