India: BPCL To Sign $780 Million Oil Supply Deal With Petrobras

India’s state-owned refiner, Bharat Petroleum Corporation Limited (BPCL), is set to sign an oil supply agreement with Brazilian state energy giant Petrobras for the delivery of 12 million barrels of crude, valued at approximately $780 million, Oilprice.com  has reported, citing Reuters.

The agreement is expected to be signed during the India Energy Week 2026 forum, scheduled for January 27–30 in Goa, according to a statement by the Indian government on Friday carried by Reuters.

Indian refiners, including BPCL, are seeking to diversify crude supply sources following U.S. sanctions on Russia’s top oil producers, Rosneft and Lukoil. The sanctions have forced the world’s third-largest crude importer to find alternatives to the significant volumes of Russian oil it previously purchased.

In October, Petrobras signed a separate oil sales contract with another Indian state-owned refiner, Hindustan Petroleum Corporation (HPCL), providing for the supply of up to six million barrels of crude over a one-year period.

Earlier this week, refining and trading sources told Reuters that BPCL awarded spot tenders to purchase Iraqi and Omani crude, as Indian refiners increase supplies from the Middle East to partially offset volumes lost from Russia following the sanctions.

All Indian refiners have stated they will comply with the U.S. sanctions on Rosneft and Lukoil, with Russian oil supplies to India now falling to a three-year low.

In addition, BPCL is reportedly seeking spot cargoes of Murban crude from the United Arab Emirates (UAE) through a separate tender, according to Reuters sources.

In recent weeks, India’s refiners have significantly increased purchases of non-Russian crude to avoid straining relations with the United States amid challenging India-U.S. trade negotiations.

Meanwhile, the country’s largest state refiner, Indian Oil Corporation, is also said to have bought several crude cargoes from Angola, Brazil, and the UAE to replace sanctioned Russian barrels.