Under the new deal, Reliance Industries will buy discounted oil as OPEC+ is expected to extend supply cuts beyond June.

In Short

• Reliance signs one-year oil deal with Rosneft

• Deal includes buying 3 million barrels monthly in roubles

• Agreement ensures discounted oil amid OPEC' supply cuts

Reliance Industries has signed a one-year deal with Russia's Rosneft to buy at least 3 million barrels of oil a month in roubles, reported news agency Reuters.

The shift in rouble payments comes after Russian President Vladimir Putin's push for Moscow and its trading partners to find alternatives to the Western financial system.

The agreement with Rosneft will help Reliance Industries to buy oil at discounted rates and this comes at a time when the OPEC+ group of oil producers is expected to extend voluntary supply cuts beyond June.

Source: Reuters, via INDIA TODAY, Sonu Vivek, 28th May 2024