Oil & Gas

Middle East crude oil exports have recovered to over 90% of pre-conflict levels, improving oil availability. However, ongoing attacks in the Gulf of Oman continue to disrupt shipping and keep freight costs significantly higher.

High transportation costs, strong diesel margins, and rising natural gas prices are expected to maintain pressure on global energy costs. Oil marketing companies in India are also experiencing losses from petrol and diesel sales due to high crude oil procurement costs.

Meanwhile, petrochemical margins have strengthened, benefiting Reliance Industries. Natural gas prices remain high ahead of winter, while a temporary US waiver related to Russia sanctions may help reduce supply pressures for major crude oil importers such as India and China.