India is in negotiations with Azerbaijan regarding supplies of liquefied petroleum gas (LPG), according to Shri T.V. Pandiyan, head of the LPG division at India's state-owned Bharat Petroleum oil refinery.
"Bharat Petroleum is in talks with the State Oil Company of the Azerbaijan Republic to purchase liquefied petroleum gas," Pandiyan said in an interview with India's The Hindu publication.
Pandiyan also said that the company has announced a tender for importing LPG from the United States.
"The majority of the company's purchases, around 90%, are concluded under long-term contracts, while the remainder are spot transactions. The tender for supplies from the U.S. is based namely on the spot purchasing mechanism. The conflict in the Middle East continues. If the Strait of Hormuz is blocked, what will we do? The tender is part of our strategy to diversify supply sources," Pandiyan emphasized.
Pandiyan said that China's refusal to accept U.S. LPG cargo also creates an opportunity for India to purchase LPG at lower prices.
