Indian Oil One: Two Oil Tankers Arrive in India
On March 12, 2026, two oil tankers carrying roughly 3 million barrels of West Asian oil arrived in India, marking a significant development in the country’s energy supply amidst ongoing disruptions. One of the tankers, the Liberia-flagged Shenlong, is carrying around 1 million barrels of Saudi Arabian crude oil, while the other is an India-flagged VLCC with approximately 2 million barrels of crude from Iraq.
The arrival of these tankers has raised hopes for more energy supplies to India, which relies on imports for around 60% of its LPG requirement, with 90% of those imports transiting through the critical Strait of Hormuz. The External Affairs Minister of India, Randhir Jaiswal, noted that he and Iran’s Foreign Minister have had three conversations in recent days to discuss shipping safety and energy security.
“The objective of the diplomatic engagement was to keep the sea route open for Indian vessels so that shipments of crude oil and liquefied natural gas (LPG) continue without major disruption,” Jaiswal stated. However, disruptions linked to the ongoing conflict involving the US, Israel, and Iran, along with instability around the Strait of Hormuz, have triggered a shortage of commercial LPG in India, affecting various sectors, including hospitality.
On the same day, the Indian Oil Corporation (IOC) recorded a total traded volume of 56,34,938 shares, with its stock opening at ₹157.40, down 2.01% from the previous close of ₹160.63. The last traded price was ₹157.20, reflecting a day’s loss of 1.43%. IOC currently has a market capitalisation of ₹2,26,928 crores.
Prime Minister Modi has reportedly stressed that the challenges stem from global developments and are not unique to India, assuring that the government is prepared to handle any disruptions effectively. However, the exact permission status from Iran for the two oil tankers to cross the Strait of Hormuz remains unclear.
Details remain unconfirmed regarding the long-term implications of the current disruptions in LPG supply, leaving observers to watch closely as India navigates these challenges in its energy sector.
