US sanctions on Iran and pressure on India to reduce oil imports from the Persian Gulf nation pose a significant short-term supply risk and can impact profitability of Indian refiners, says Mangalore Refinery and Petrochemicals Ltd (MRPL).
As per report, MRPL said it is looking at alternate oil sources like Australia, West Africa and South America to supplement any reduction in supplies from the Persian Gulf nation, which supplied a quarter of its oil needs.
MRPL sources more than 65 per cent of its nearly 16 million tonnes a year crude oil requirement from the Middle East through fixed-term contracts. Iran supplies about 25 per cent of its oil needs.
