Oil has been supported by concern that the Iranian export loss will leave a thinner margin of unused production capacity to deal with supply shocks. Buyers of the superlight crude are under more pressure than importers of "regular" crude since there are few alternate suppliers.
Pradhan said that while speaking to Saudi Arabia's energy minister Khalid A. Al-Falih two days ago he had reminded him of Opec's June decision and added that perhaps the increase in oil productions had not taken place.More news: 'Venom' Launches to $80 Million, 'A Star Is Born' Draws $42.6 Million
Indian refiners have already imported around ten million barrels of Iranian crude this month.
Secretary of State Mike Pompeo said in India last month that the administration would consider waivers and that some buyers of Iranian oil would take a "little bit of time" to unwind their trade with Iran. TankerTrackers.com reported in September that Iranian tankers were switching off their tracking devices after leaving their home ports, and later said that probably half of September's exports were shipped with the trackers off.
A U.S. government official said on Friday that the Trump administration is actively considering waivers on sanctions it will re-impose next month for countries that are reducing their imports of Iranian oil.
Washington said on Friday it was considering waivers for nations that were reducing imports of Iranian oil.More news: Rodgers and King taken off of Packers injury list
The U.S.is imposing the sanctions because Iran has reneged on a 2015 nuclear deal-a point on which other major powers disagree-and because it wants Iranian forces to pull out of Syria and Iraq.
"What the Saudis had been supplying the market with, were not from Riyadh's spare capacity but from tapping its oil stocks", Zanganeh said, according to the website.
India has a strong trade and diplomatic relationship with both Iran and the US.
Iran has questioned whether the market needs more oil and says its output is holding steady at about 3.8 million bpd.More news: William Nordhaus and Paul Romer win Nobel Economics Prize
Iran has blamed Trump for oil price hikes, but the United States president has pointed the finger at OPEC and called on the oil-producing body to boost output. She said the sanctions that would come into force on 4 November were created to bring Tehran to book and not to penalise India, which meets 83% of its crude oil requirements from outside.