Too Early To Predict Sanctions Impact On Iran Imports, Says Oil Minister

Abu Dhabi: It is too early to predict the impact of US sanctions on India's import of Iranian oil, union petroleum and natural gas minister Dharmendra Pradhan said today. Mr Pradhan told Reuters during a visit to the United Arab Emirates that he was "a little bit concerned" about the impact of an oil price rise on consuming countries but that he did not think oil supply will be an issue.

"Let's see how things are moving. It's too early to predict in one way. We are watching very carefully."

"This kind of geopolitical (tension) affects both consuming and producing countries. We have to live with the reality of the present geopolitics," Mr Pradhan said.

The oil minister said there was a consensus between Saudi state oil giant Aramco, the Abu Dhabi National Oil Company ADNOC and Indian companies to form a joint venture.

ADNOC wants to expand its downstream portfolio in markets where demand for oil is still growing, such as China and India, securing a new outlet for its crude.

A source said last month that the opportunities ADNOC could be looking at included a refinery and petrochemical project in India, for which Aramco signed an initial agreement on Wednesday with a consortium of Indian state refiners.