Indian refiners have started to settle the rest of their outstanding oil dues to Iran via State Bank of India and Germany-based bank Europaeisch-Iranische Handelsbank AG (EIH), a report said.
In an attempt to speed up payment of billions of Iranian oil dues, Indian refiners are settling their debts via EIH as timely payment of the dues is crucial not only for future crude supplies but also for winning investments in Iran that would strengthen trade ties between New Delhi and Tehran, Reuters reported.
Last month, state-run Mangalore Refinery and Petrochemical, Indian Oil Corp and Hindustan Petroleum Corp together cleared $770 million in euros via Union Bank and Halkbank to National Iranian Oil Co (NIOC).
It was the first payment to Iran by India since the removal of anti-Tehran sanctions and it is not yet known when the second instalment will be paid.
Essar Oil has to pay Iran about $3.1 billion, Mangalore Refinery and Petrochemicals Ltd owes $2.8 billion, and Indian Oil Corp owes $581 million. HPCL-Mittal Energy Ltd (HMEL) has to pay $97 million and Hindustan Petroleum Corp owes $29 million.
(Source: Tasnim, under Creative Commons licence)