Russian crude with Indian touch: What is Bangladesh’s new crude sourcing strategy?

Bangladesh is weighing a proposal that would see Russian crude oil refined in India before the finished fuel is imported back, as the country grapples with supply pressures triggered by the Middle East conflict. According to people aware of the development, the arrangement under consideration would require Bangladesh to pay for the import of crude, its refining in India, and the transportation of the refined fuel.

The energy and mineral resources division in Bangladesh has already moved the proposal forward this week, sending a request to the country’s power and energy minister Iqbal Hasan Mahmud Tuku. The request seeks approval to begin discussions with the ministry of foreign affairs for a government-to-government (G2G) agreement, Dhaka-based sources told ET.