New Delhi: State-run Indian Oil Corp. Ltd (IOCL) has signed a term contract with commodities trading major Trafigura for supply of liquefied natural gas (LNG) for a five-year period, said Arvinder Singh Sahney, the chairman and managing director (CMD) of Indian Oil.Addressing the media on Wednesday, the CMD said that the deal is valued around $1.3-1.4 billion and pricing of the LNG would be based on the US Henry Hub benchmark price. Supplies are likely to begin the second half of this year.Also Read | IOC, HPCL and BPCL consortium in talks with Equinor to secure LPG contract”We are looking at (supplies of) around 2.5 million tonnes (mt), 27 cargoes spread over 5 years starting from H2 of this year at around $1.3-1.4 billion,” he said.The deal comes at a time when India is looking at securing long term contracts to ensure energy security. Among other sources in its portfolio, Trafigura sources LNG through a long-term agreement with US-based Cheniere Energy. India already is looking at enhancing its energy supplies from the US and talks on the bilateral trade agreement are already underway. India currently imports about 45% of its annual LNG requirement.Also Read | Indian Oil Q4 Dividend: Oil PSU company announces final dividend of ₹3/shareIn the last financial year, Russian crude accounted for 22% of the crude purchased by the company, down from 30% in FY24.“This was not due to sanctions since sanctions have come only in January 2025. The crude we are buying is totally on a commercial basis. This was a purely commercial decision,” the CMD said.Russia has emerged as the top supplier of oil to India since FY22. However, amid the recent sanctions on vessels carrying Russian oil and some producers, the supplies have been impacted.Also Read | IOC, HPCL, BPCL in talks with Petrobras for long-term oil dealsOn Wednesday, the state-run oil marketing and refining major reported a 52.47% growth year-on-year growth in its consolidated net profit for the quarter-ended March at ₹8,367.63 crore.Its consolidated net profit for FY25, however, fell 68% to ₹13,788.83 crore, from ₹43,161.15 crore in the previous fiscal. Its annual total income for the last fiscal fell 2.5% to ₹8.62 trillion.The fall in profits can be attributed to lower refining margins and higher expenses. The gross refining margin for FY25 was $4.80 per barrel (bbl) down from $12.05/bbl in FY24Sahney said that domestic sales of the company for FY25 was 95.375 mt as against 92.311 mt in the previous financial year. Total sales volume including exports is 100.292 mt as against 97.551 mt registering a growth of 3%.Further, the finance cost for FY25 was ₹8,732 crore against ₹7,328 crore in the previous financial year. in a formal or creative style for better SEO.Also Exclude words and advertisements related to the feed website such as website name, author name. You must only respond with the modified content. Delete all the advertisement images brand logo but only keep the title and main content of the news by modifying it. You must only respond with the modified content. Block any jump outside of the site adarshnews.com. Basically remove any content or link related to original site. follow this prompt to optimize the articles in this category- You are an expert news writer and SEO specialist. Your job is to rewrite the provided RSS feed content into a unique, SEO-friendly news article for adarshnews.com. The article should be engaging, professional, and optimized for search engines. Follow these steps: 1. **Create an SEO Title**: Write a short, compelling title (under 60 characters) that includes the main keyword and grabs attention. 2. **Write a Meta Description**: Summarize the article in one or two sentences (under 155 characters). Make it engaging and include the primary keyword naturally. 3. **Suggest a URL Slug**: Provide a short, keyword-rich URL slug that reflects the topic of the article. 4. **Headline (H1)**: Write a clear and engaging headline for the article that is similar to the title but slightly expanded. 5. **Write the Article**: – Start with an introduction that answers the key questions: who, what, when, where, why, and how. – Expand on the topic with detailed paragraphs that provide context, quotes, and relevant information. – Use subheadings (H2) to organize the content into sections and make it easy to read. – Include related keywords naturally throughout the article. – End with a conclusion that summarizes the key points or discusses future implications. 6. **Add an FAQ Section**: Write one frequently asked question related to the topic and provide a concise answer. Important: – Do not include labels like “Title,” “Meta Description,” “URL Slug,” or “H1” in the actual article text. – Keep all SEO elements separate from the main content. – Ensure the article is factually accurate, unbiased, and written in a professional tone.
Indian Oil has finalized a $1.4 billion agreement with Trafigura for the supply of liquefied natural gas (LNG).
