India Seeks US Extension on Russian Oil Waiver Amid Persian Gulf Disruptions: Report

India has asked the United States to extend its waiver on Russian oil imports, Bloomberg News reported on Thursday, citing people familiar with the matter, as the ongoing conflict in the Persian Gulf continues to disrupt energy supply chains.

The US first provided a green light in March, and then widened that with an authorization running until May 16, in an effort to limit rising oil prices with additional barrels.

The relaxation reflects the trade-offs the Trump administration has been forced to adopt for its war against Tehran, which began in February and led to the near-total closure of crude flows through the Strait of Hormuz.

Adding to concerns over Persian Gulf stability, Bloomberg also reported Thursday that two ships laden with LPG, Symi and NV Sunshine, appear to have transited the Strait of Hormuz. Both ships "went dark," switching off their transponders, according to the news wire.

With no end in sight for the conflict in the Middle East, officials in New Delhi have warned Washington that supply remains a priority, as continued volatility in the oil market will have wide consequences.

Will India's Cooking Gas Crisis Force the US to Extend the Russian Oil Waiver?

That includes the impact on 1.4 billion Indians already struggling with a cooking gas shortage, the people said. They asked not to be named as the conversations are not public.

While Russian crude is not subject to blanket sanctions, Washington has previously pushed New Delhi to cut back on discounted purchases in order to pressure Moscow over its war in Ukraine.

Indian imports of Russian oil have nonetheless been running at a record pace as refiners go all out before the current waiver expires.

So far in May, daily inflows have totalled an unprecedented 2.3 million barrels, according to Kpler data, as the waiver allowed imports of already-loaded Russian oil. Full-month flows may come in at a still-substantial 1.9 million barrels a day, Kpler's predictive data shows.

US President Donald Trump on Tuesday hinted at keeping all options open to help ease rising crude oil prices, while expressing confidence that inflation would decline once the ongoing conflict with Iran comes to an end.

When asked if he would extend the waiver on sanctioned Russian oil in order to help ease crude prices, President Trump told ANI: "We're going to do whatever is necessary, and as soon as this war is over, which will not be long, you're going to see oil prices drop and see a stock market, which is already at the highest point in history, go through the roof."

Trump has tapped into America's Strategic Petroleum Reserve, directed a boost in domestic oil production and loosened American shipping laws.

Apart from Russia, Trump has authorised a temporary lift in sanctions on oil from Iran and Venezuela as part of his broader effort to manage energy prices amid the ongoing regional conflict.

(With inputs from ANI)