BPCL seeks extra Iran oil amid sanctions threat

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BPCL seeks extra Iran oil amid sanctions threat

Indian state refiner Bharat Petroleum Corp has requested an extra one million barrels of oil from the National Iranian Oil Co. (NIOC) for June, two industry sources said, amid a looming threat of stringent U.S. sanctions.

The move by BPCL indicates that refiners will try to frontload their purchases from Iran ahead of a November U.S. deadline for re-imposing sanctions on the country’s petroleum sector.

Uncertainties cloud Iran’s oil exports after U.S. President Donald Trump abandoned a 2015 nuclear agreement this month and ordered the re-imposition of U.S. sanctions on Tehran.

Some sanctions take effect after a 90-day “wind-down” period ending on Aug. 6, and the rest, notably on the petroleum sector, after a 180-day “wind-down period” ending on Nov. 4.