'Insurance cos not covering storage of Iranian oil'

NEW DELHI: Indian insurers are not providing coverage insurance policies for storage of Iranian oil, an Indian Oil Corp Ltd (IOC) legitimate stated, owing to drawing close US sanctions on import of crude from Iran, that are expected to kick in on November 4.

"Insurance companies are providing for asset cover but are not covering the crude kept in storage," the legitimate stated on situation of anonymity.

Senior officers on Monday had stated that Indian oil firms have optional volumes built of their annual crude oil acquire contracts with providers like Saudi Arabia and Iraq that shall be greater than sufficient to make up for any shortfall in provides from sanctions-hit Iran.

India has optional volumes from Saudi, others to make up for shortfall from Iran

"We have optional volumes built in with all our term suppliers. These optional volumes can be taken at any time of the year and would be more than sufficient to make up for any shortfall that may arise because of US sanctions against Iran," a best legitimate at a state-run refiner stated.

India, the arena's third-biggest oil consumer, meets greater than 80 in step with cent of its oil wishes via imports. Iran is its third-largest supplier after Iraq and Saudi Arabia and meets about 10 in step with cent of total wishes.