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Russia, India sign record oil supply deal, Reuters reports

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Russia, India sign record oil supply deal, Reuters reports
Workers inspect an oil pumping jack at a pumping site operated by the Russian energy company Rosneft near Nizhnevartovsk, Russia, on March 22, 2017. (Andrey Rudakov/Bloomberg/ Getty Images)

Russian state-owned oil company Rosneft and Indian refining giant Reliance Industries have finalized a landmark agreement to supply 500,000 barrels of oil daily for the next 10 years, Reuters reported on Dec. 12.

The deal marks the largest energy partnership between the two nations, valued at approximately $13 billion annually at current market prices.

India, now the biggest importer of Russian oil, benefits from discounted grades like Urals, enabling significant cost savings for its refiners.

This agreement also intensifies competition with Middle Eastern oil producers, particularly Saudi Arabia, as they vie for a share of India’s rapidly growing energy market.

While India has maintained its call for a diplomatic resolution to Russia's war against Ukraine, it continues to deepen economic ties with Moscow.

Indian Prime Minister Narendra Modi met with Russian President Vladimir Putin in Moscow in July. The two countries identified nine areas for enhanced cooperation, ranging from nuclear energy to medicine.

India and Russia also aim to boost bilateral trade by over 50%, targeting $100 billion annually by 2030.

Russia has built only 7 out of 108 planned airliners since 2022, BBC reports
Russia’s Comprehensive Program for the Development of the Air Transport Industry until 2030 envisioned producing 1,032 passenger aircraft between 2022 and the end of the decade.
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Tim Zadorozhnyy

News Editor

Tim Zadorozhnyy is a news editor at The Kyiv Independent. Based in Warsaw, he is pursuing studies in International Relations, focusing on European Studies. Tim began his career at a local television channel in Odesa. After moving to Warsaw, he joined the Belarusian opposition media outlet NEXTA, starting as a news anchor and later advancing to the position of managing editor.

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