Indian Oil Corporation (IOC)

On September 19, 2007, IOCL was added to the Florida State Board of Administration List of Prohibited Investments (Scrutinized Companies) due to its involvement in Iran. As of March 9, 2021, IOCL remains on the SBA list of prohibited investments. 

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In January 2021, the State of New Jersey Department of the Treasury listed IOCL as a company engaged in prohibited activities in Iran pursuant to P.L. 2012, c. 25 ("Chapter 25"). 

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As of December 2020, Rhode Island continues to list IOCL as an Iran scrutinized company for active involvement of at least $50 million in Iran's energy sector. 

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On October 14, 2020, IOCL remained on the Tennesse Department of General Services list of persons it determines engage in investment activities in Iran, as described in 12-12-105.

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As of July 2020, IOCL remains on the Pennsylvania Treasury's List of Scrutinized Companies Determined as Having Involvement In Iran because of oil-related investment of US $20 million since 1996. 

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IOCL is listed on the 4Q 2020 Minnesota State Board of Investment List of Unauthorized (Scrutinized) Iran Companies.

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In 2020, the U.S. state of Mississippi listed Indian Oil on its state lists of Companies Doing Business with the Iranian Petroleum/Natural Gas, Nuclear and Military Sectors, rendering it ineligible for investment and/or state contracting.

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IOC is listed on the August 5, 2020 California Department of General Services, "Entities Prohibited from Contracting with Public Entities in California per the Iranian Contracting Act, 2010" list.

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In June 2020, IOC was listed by the Connecticut Office of the Treasurer as a restricted company and therefore prohibits direct investment in the company due to its involvement in Iran. 

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"Indian Oil Corp. has been identified as having a majority stake in a company in Iran. One of the minority partners in the company has ties to the Iranian Revolutionary Guard Corps, an entity restricted by U.S. sanctions. The U.S. Government Accountability Office (GAO) has identified Indian Oil Corp. as having commercial activity in Iran’s energy sector. Since 2012, CalSTRS has initiated the review process multiple times as CalSTRS external managers purchased the security but liquidated the security before completing the engagement. In 2015, CalSTRS designated the company as “Divested and Restricted” because of the troubling nature of its ties to Iran and believed it would be more efficient than continually initiating the review process. In 2020, prompted by potential manager interest in investing in the company, CalSTRS removed Indian Oil Corp. after further review of the company’s ties to Iran and internal controls to prevent sanction violations."

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As of October 2019, Indian Oil remains on the Pennsylvania Treasury's List of Scrutinized Companies Determined as Having Involvement In Iran because of oil-related investment of US $20 million since 1996. 

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In 2018 and 2019 Tennessee used the New York list of “Entities determined to be non-responsive bidders/offerers pursuant to the New York State Iran Divestment Act of 2012.” Indian Oil was included on this list in 2018. Tennessee states "Inclusion on this list would make a person ineligible to contract with the state of Tennessee, if a person ceases its engagement in investment activities in Iran, it may be removed from the list."

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In 2019 IOCL was listed on the Texas Comptroller List of Companies Engaging in Scrutinized Business Operations in Iran.

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"New Delhi: Indian Oil Corporation (IOC), the country’s largest fuel retailer and the largest importer of Iranian crude, has not signed the usual yearly term contract with sanctions-hit Iran for import of crude oil this fiscal, Sanjiv Singh, Chairman and Chief Executive Officer (CEO) of the company said in an interaction with the media." (Energy World, "Indian Oil ends term-contract with Iran for import of crude oil," 5/20/2019).

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Indian Oil Corp. has been identified as having a majority stake in a company in Iran. One of the minority partners in the company has ties to the Iranian Revolutionary Guard Corps, an entity restricted by U.S. sanctions. The U.S. Government Accountability Office (GAO) has identified Indian Oil Corp. as having commercial activity in Iran’s energy sector.

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IOCL is listed on the June 4, 2019 and July 12, 2019 Florida State Board of Administration list of prohibited investments (Scrutinized companies) for Iran related business.

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On June 30, 2019, New Jersey listed IOCL on its state list of entities determined, based on credible information, to be engaged in prohibited activities in Iran.

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IOCL is listed on the June 2019 Alaska Retirement Management Board, Companies Doing Material Business with Iran list.

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IOCL is listed on the March 2019 Alaska Retirement Management Board, Companies Doing Material Business with Iran list.

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IOC is listed on the January 2019 Entities prohibited from Contracting with Public Entities in California list.

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Since 2012, CalSTRS has initiated the review process of Indian Oil Corp. as the company was purchased by CalSTRS external managers. However, the security was always sold before the review process could be completed. In 2015, CalSTRS designated the company as “Divested and Restricted” because of the troubling nature of its ties to Iran and believed it would be more efficient than continually initiating the review process. CalSTRS has maintained the “Divested and Restricted” designation in 2018. Indian Oil Corp. is listed on the December 31, 2018 CalSTRs Portfolio of companies identified as possibly having ties to Iran and from which CalSTRs has divested from and restricted in 2018.

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In 2018 IOCL was listed on the Texas Comptroller List of Companies Engaging in Scrutinized Business Operations in Iran.  

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IOCL is listed on the CalPERS November 2018 Iran Divested/Restricted companies list.

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India's largest oil refiner is considering whether to cut imports of Iranian crude oil following a decision by the State Bank of India to stop dealing with Iran. Benoit Faucon and Sarah McFarlane, "King Dollar Tightens Noose on Iranian Economy," The Wall Street Journal, June 25, 2018.

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Indian Oil Corp (IOC), the country’s top refiner, will turn to its traditional oil suppliers, mostly in the Middle East, if U.S. sanctions against Iran result in supply disruptions, its head of finance said. 

“So far we haven’t cut any volumes from Iran. We have to see how strongly the U.S. takes up sanctions. From our side, we would like to continue. Otherwise we will look to our traditional suppliers,” A.K. Sharma said." (5/22/2018).

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In 2018 the U.S. states of Iowa, New Jersey and New York listed IOCL on its Iran prohibited companies list rendering IOCL ineligible for investment and/or state contracting.

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In 2017 the U.S. states of Alaska, California, Florida, Minnesota, Pennsylvania, Rhode Island, South Carolina, Tennessee andTexas listed IOCL on its list of companies doing material business with Iran rendering IOCL ineligible for investment and/or state contracting.

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Iran, India’s third biggest oil supplier, used to give a 90—day credit period to refiners like Indian Oil Corp (IOC) and Mangalore Refinery and Petrochemicals Ltd (MRPL) to pay for the oil they would buy from it. Now, Tehran has reduced this to 60 days, essentially means that IOC and MRPL would have to pay for the oil they buy from Iran in 60 days instead of previous liberal term of 90 days, sources privy to the development said. (April 2017)

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In 2016 Tennessee used the South Carolina list of "Entities Ineligible to Contract with the State of South Carolina or any Political Subdivision of the State per the Iran Divestment Act of 2014, S.C. Code Ann." as its list of persons it determines engage in investment activities in Iran. Indian Oil was included on this list in 2016. "Inclusion on this list would make a person ineligible to contract with the state of Tennessee, if a person ceases its engagement in investment activities in Iran, it may be removed from the list."

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"An Indian Oil Corp unit plans to invest $5.5 billion to gradually raise the capacity of its smallest refinery co-owned by Iran to 300,000 barrels per day (bpd), its chairman said, to help meet a surge in demand for refined products in the world's fastest growing major economy. The Nagapattinam plant operated by IOC's subsidiary Chennai Petroleum Corp requires a complete overhaul to produce the cleaner, higher grade fuels needed to meet rising demand in southern India, said B. Ashok, chairman of the two firms... CPCL's two plants, in which Iran's Naftiran Intertrade Co Ltd has a 15.4 percent stake, are located in the southern state of Tamil Nadu." (Reuters, "Indian Oil plans $5.5 billion expansion of refinery co-owned by Iran," 11/28/2016).

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“India's purchases of Iranian oil fell 4.1 percent in September, slipping from August when imports from Tehran hit their highest in at least 15 years, according to ship tracking data and a report compiled by Thomson Reuters Oil Research and Forecasts... 131,000 bpd imported by Indian Oil Corp…” (Reuters, "India's Sept Iran oil imports fall 4.1 percent on Aug - shipping data," 10/12/2016).

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"Private-refiner Essar Oil was the biggest Indian client of Iran in 2014, followed by Mangalore Refinery and Petrochemicals Ltd and Indian Oil Corp." (Reuters, "India oil imports from Iran jump sharply in 2014," 1/16/15)

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"Indian Oil Corp (IOC), the country's biggest refiner, is exploring options including a merger to save loss-making unit Chennai Petroleum Corp (CPCL), its chairman B. Ashok told Reuters on Wednesday. CPCL's attempts to raise funds have been constrained due to a 15.4 percent stake held in it by a unit of Iran's Naftiran Inter Trade Co Ltd (NICO). Western sanctions against Tehran due to its nuclear programme have made businesses difficult for companies with ties to Iran. 'At the moment there are certain difficulties,' Ashok said. 'CPCL requires infusion of funds and we are looking at various options including a merger of CPCL with IOC.'" (Reuters, "Iranian Stake Hurts IOC's Revival Plan," 11/12/14)

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"Indian refiners completed payment of $900 million in frozen oil revenues to Iran on Wednesday under an interim deal that eased some sanctions against Tehran over its disputed nuclear work, said industry sources with direct knowledge of the matter... "The first instalment of $400 million was cleared last month and today the companies paid the second instalment of $500 million," said one of the industry sources. The sources declined to be named because they are not authorized to speak to the press. In the second instalment of $500 million, Mangalore Refinery and Petrochemicals Ltd and Essar Oil paid around $220 million each, Indian Oil Corp about $60 million and Hindustan Petroleum Corp about $5 million, according to the sources." (Reuters, "India completes $900 mln payment to Iran under interim deal-sources," 11/5/14)

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"Chennai Petroleum Corp., a unit of India's largest refiner, plans to resume crude imports from Iran after a two-year gap as insurers return to the market. 'This year, we plan to restart Iran oil purchases,' Managing Director S. Venkataramana said in a phone interview. 'We are already talking to the re-insurers for this, and we are getting positive responses so far.' Chennai Petroleum, controlled by Indian Oil Corp. (IOCL), plans to import about 300,000 metric tons of oil from Iran for the year ending in March 2015, he said." (Bloomberg, "Chennai Petroleum Plans Iran Oil Imports After Two Years," 8/13/14)

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"Indian Oil Corp. (IOCL) and two other state-run refiners said they will defer resuming purchases of Iranian crude by at least three months, having failed to get reinsurance for shipments after Europe said it would relax a coverage ban…Chennai Petroleum Corp. (MRL), which hasn’t bought any oil this year from Iran, will continue to stay away, Managing Director A.S. Basu said. Curbed shipments from Iran may hamper plans by Indian refiners to benefit from lower prices and freight costs. The South Asian nation planned to buy 11 million tons of Iranian crude this fiscal year after the European Union eased its sanction on insuring cargoes following a six-month accord between the Persian Gulf state, the U.S. and five other nations.’The benefit of the Iran deal is not percolating down,’ Basu said in an interview in New Delhi. ‘Our insurers are saying foreign reinsurers want to observe the situation for six months before extending any cover.’ European rules have yet to be rewritten, so reinsurers are still unable to provide cover to Indian refineries that purchase cargoes from the Persian Gulf state, Andrew Bardot, executive officer at the International Group of P&I Clubs, said." (Bloomberg, “India Refiners Delay Iran Imports on Failure to Get Reinsurance,” 1/7/14)

India imported 13.5 percent more Iranian oil in May compared with April as the country's biggest refiner Indian Oil Corp bought crude from Tehran after a three-month break, tanker data obtained from trade sources showed. India, Iran's top client after China, imported about 255,200 barrels per day (bpd) of Iranian oil last month, down 0.6 percent from a year ago, according to tanker arrival schedules from sources and data compiled by Thomson Reuters Oil Analytics. India's intake of Iranian oil in January-May rose about 38 percent from the previous year as refiners ramped up imports in the first quarter to meet a target of buying 220,000 bpd crude from Tehran in the fiscal year that ended March 31, 2014. IOC took one very large crude carrier, or 2 million barrels of Iranian oil last month, after not making any purchase from Tehran since January, the data showed. (Reuters, "India's Iran oil imports rise 13.5 pct in May vs April -trade," 6/17/14)

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“The US Government Accountability Office, in a recently released report, moved ONGC Videsh Ltd, the overseas arm of state explorer Oil and Natural Gas (ONGC), and three others, including Petronet LNG Ltd, out of the list...GAO listed four of the 43 firms identified in 2010 as having ‘active’ energy ties with Iran…Indian Oil Corp (IOC) has been clubbed with China National Offshore Oil Corp, Sinopec of China and Venezuela's Petroleos de Venezuela SA in a category of eight firms about which ‘insufficient information’ was available…Previously, IOC, along with OVL, ONGC, OIL and Petronet, were listed as firms that had active ties with Iran…OVL, IOC and OIL explored for oil and gas in Iran's Farsi block and proposed investing $5.5 billion to produce gas from the 21.68 trillion cubic foot discovery they made in the offshore area located near the Saudi Arabian border.” (Economic Times, “US moves ONGC Videsh out of list of firms with ties to Iran,” 4/10/14) 

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"India's oil imports from Iran more than doubled in January from a month earlier, with one state refiner returning from a three-month break as a buyer after sanctions on Tehran were eased due to the interim deal on its nuclear programme…State-run Indian Oil Corp, the country's biggest refiner took Iranian oil in January after not getting oil from Tehran the previous three months, shipping in about 3 million barrels, the data showed.” (Reuters, “India doubles Iran oil imports in Jan from Dec -trade,” 2/21/14)

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"Indian Oil Corp. (IOCL) and two other state-run refiners said they will defer resuming purchases of Iranian crude by at least three months, having failed to get reinsurance for shipments after Europe said it would relax a coverage ban. Indian Oil, which has an accord to buy 24,000 barrels a day from Iran in the year ending March 31, halted purchases after importing in the first quarter of the fiscal year. The nation’s biggest refiner won’t resume buying until insurance is available, said a person with direct knowledge of the matter, asking not to be identified before an announcement…Curbed shipments from Iran may hamper plans by Indian refiners to benefit from lower prices and freight costs. The South Asian nation planned to buy 11 million tons of Iranian crude this fiscal year after the European Union eased its sanction on insuring cargoes following a six-month accord between the Persian Gulf state, the U.S. and five other nations.’The benefit of the Iran deal is not percolating down,’ Basu said in an interview in New Delhi. ‘Our insurers are saying foreign reinsurers want to observe the situation for six months before extending any cover.’ European rules have yet to be rewritten, so reinsurers are still unable to provide cover to Indian refineries that purchase cargoes from the Persian Gulf state, Andrew Bardot, executive officer at the International Group of P&I Clubs, said.” (Bloomberg, “India Refiners Delay Iran Imports on Failure to Get Reinsurance,” 1/7/14)

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In 2013, 2014, 2015, 2016 and 2017 IOCL was listed on the Texas Pension Review Board List of Scrutinized Companies doing business in Iran pursuant to Chapter 807.054, Government Code. 

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"Indian refiners have asked the government to clarify if they can pay Iran for crude in euros after the National Iranian Oil Company (NIOC) requested settlement of some debts through a Turkish bank, Indian officials said on Wednesday…India now owes Iran about $5.3 billion for oil imports, government and refining sources said last week. In mid-October, NIOC informed Indian refiners that Halkbank was ready to restart channelling the payments to Iran, the sources told Reuters, declining to be named due to the sensitivity of the matter. NIOC said it had been informed that Halkbank could be used again by Iran's central bank. It was unclear from the communication from NIOC what had changed that would allow the payments to restart without contravening U.S. sanctions, the sources said…Indian refiners have yet to restart payments via Halkbank and have asked the government for guidance, the sources said…Indian refiners Essar Oil, Mangalore Refinery and Petrochemicals Ltd, Hindustan Petroleum and Indian Oil Corp have all bought crude from Iran and owe payment, sources said." (Reuters, "Indian refiners puzzle over Iran request for euro oil payment-sources," 11/13/13)

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"Iran is offering free delivery of crude to major client India, industry sources said, signalling that tough Western sanctions which have slashed its exports in half are driving Tehran to increasingly desperate measures to keep oil flowing…Iran's remaining Indian clients - Mangalore Refinery and Petrochemicals Ltd, Essar Oil and Indian Oil Corp - could save freight of 70 cents to $1 a barrel on purchases from Iran, said one of the sources…India is one of Iran's few remaining clients along with other Asian buyers China, Japan and South Korea. (Reuters, "Iran offers to ship crude to India for free to boost sales," 11/7/13)

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"India's imports of Iranian oil have fallen to 194,000 barrels per day (bpd) for January-September, down from 324,000 bpd in the same period last year, trade data made available to Reuters shows. September barrels from Iran rose to 296,100 bpd from 151,000 bpd in August, partly due to Indian Oil Corp (IOC.NS) taking 2 million barrels of oil from Tehran, the data showed." (Reuters, "India's Iran oil imports drop as refiners await insurance fund," 10/29/13)

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"India aims to cut Iranian crude imports by 15 percent this fiscal year, the oil secretary said on Tuesday, differing from the oil minister who recently said he wanted to hold the shipments at last year's levels. Ahead of Prime Minister Manmohan Singh's visit to the United States last week, Oil Minister M. Veerappa Moily said Iranian imports should be held steady at 260,000 barrels per day (bpd) to save as much as $8.5 billion in foreign exchange as Tehran accepts partial payment in rupees. However, Oil Secretary Vivek Rae, the Petroleum Ministry's top bureaucrat, said on Tuesday that India targets oil imports of around 220,000 bpd from Iran in the year through March 2014…Three other refiners - Hindustan Petroleum, Bharat Petroleum and Indian Oil Corp - can each import about 1 million to 1.5 million tonnes for the year, or about 20,000 bpd." (Reuters, "India aims to cut Iran oil imports by 15 pct - oil secretary," 10/1/13)
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"Indian Oil Corp, the country's biggest refiner, aims to import 23.4 percent less oil from sanctions-hit Iran in the fiscal year to March 2014 compared with a year earlier, Indian oil minister M. Veerappa Moily said on Tuesday . . . IOC imported 31,320 bpd or 1.566 million tonnes in the fiscal year ending March 31, and entered into a term deal with Tehran to buy 24,000 bpd in this fiscal year, Moily told lawmakers in a written reply. He said IOC imported about half of the contracted volumes in April-June costing $429 million. IOC's imports from Iran in the last fiscal year ended March were valued at $1.26 billion, of which $653 million were paid in rupees and $415 million were settled in euros, he said . . . OC has to pay $194.31 million for Iranian oil purchases made in 2012/13 and about $236 for 2013/14, the minister said." (Reuters, "India's IOC aims to cut oil imports from Iran by 23.4 pct in 2013/14-Minister," 8/6/13)  

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"That has left the country's biggest refiner, state-owned Indian Oil Corp - whose insurance coverage is due for renewal only in November - and private refiner Essar Oil as Iran's only Indian clients, according to sources. The data showed IOC bought two very large crude carriers of Iranian oil in May, and industry and government sources said the state refiner is not planning to lift any more Iranian crude until the fourth quarter of 2013." (Reuters, "India cuts Iran oil imports 42 pct, takes Venezuelan, other crudes," 6/17/2013) 

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"Iran has offered the first such pact globally since the 1979 revolution that overthrew the monarchy in Iran to an Indian consortium comprising ONGC Videsh Ltd (OVL), Indian Oil Corp. Ltd(IOC) and Oil India Ltd (OIL), which won a bid for the block in 2002 from National Iranian Oil Co." (The Wall Street Journal, "Indian firms to ink production-sharing contract with Iran," 6/16/2013) 

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"India's oil imports from Iran fell by more than 40 percent in July from June and a year ago, as imports by Tehran's biggest local client MRPL were hit by a shortage of ships and insurance cover caused by European Union sanctions . . . HPCL aims to buy 60,000 bpd oil from Iran -- 40,000 firm and 20,000 optional, compared with 70,000 bpd in 2011/12, and Indian Oil Corp, the country's biggest refiner, plans to lift 30,000 bpd compared with 42,000 bpd a year ago." (Reuters, "India cuts July Iran oil imports by over 40 pct y/y-trade data," 8/21/12)

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"India's biggest buyer of Iranian oil, MRPL, has bought Azeri, Saudi and Emirati crude to replace imports from Iran in July and it may halt purchases from Tehran altogether as sanctions make shipments more difficult,industry sources said on Monday. . . Indian Oil Corp., the country's biggest oil refiner, has been lifting 20,000 bpd of Azeri Light crude in 2012 under an annual contract while Hindustan Petroleum will soon start buying 10,000 bpd from Azerbaijan's national oil company SOCAR." (Reuters, "India's top buyer of Iran oil turns to Azeri, Saudi," 7/16/12)

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"Indian refiners cut imports from Iran by 38 percent in May from a year ago, tanker discharge data showed, in a second month of steep reductions as they switch suppliers to cushion the impact of new U.S. sanctions on Tehran . . . Indian Oil Corp, the country's biggest refiner, bought 67,600 bpd oil from Iran [in 2011/12]." (Reuters, "India cuts May Iran oil imports 38 pct-trade," 6/7/12)

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“Indian Oil Corp stepped up imports to 85,000 bpd from just 11,000 bpd in the same quarter of 2011, it showed” (Reuters, “India replaces China as Iran's top oil client,” 4/13/2012)

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"India's biggest oil refiner said Thursday it did not expect any supply shortages because of a payments problem between India and Iran, but other refiners are making contingencies in case of disruption.

In December, India's central bank said payments to Iran -- India's second biggest supplier of crude -- could no longer be settled through a long-standing clearing house system because of sanctions. The abrupt move to block the Asian Clearing Union (ACU) mechanism, which was run by the central banks of India and other south Asian countries, left Indian oil companies without a way to pay for their supplies.

A temporary arrangement has been found using the State Bank of India and the European-Iranian Trade Bank, or EIH Bank, but both countries are seeking a long-term solution. Asked about possible problems, S.V. Narasimhan, the finance director of IndianOil, the largest refiner in India, said Thursday: 'We don't anticipate any disturbances.'" (AFP, "Indian oil giant optimistic over Iran supply," 1/6/11)

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In 2011, Indian Oil was added to the Pennsylvania Treasury's List of Scrutinized Companies Determined as Having Involvement in Iran because of oil-related investment of US $20 million since 1996.
 

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Firm/country: Indian Oil Corporation/India;

Firm activity: Development of Farzad-B natural gas field in the Farsi block;

Status: Part of consortium that is exploring the Farsi block and that submitted a 2009 plan to develop the gas field over a 7-to 8-year period;

Commercial activity: 40% stake in the project, with an estimated total investment of $5 billion;

Firm comment: Contacted on February 19, 2010; no response as of March 22, 2010

(GAO report 2010 - "Firms Reported in Open Sources as Having Commercial Activity in Iran’s Oil, Gas, and Petrochemical Sectors")

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"Oil and Natural Gas Corp. Ltd’s (ONGC) overseas arm ONGC Videsh Ltd, or OVL, which won the bid in 2002, is the operator of the Farsi block with a 40% stake in the block. Indian Oil Corp. Ltd (IOC) and Oil India Ltd (OIL) have 40% and 20% stakes, respectively.  The consortium submitted a feasibility report to National Iranian Oil Co. (NIOC) in November 2008. NIOC then accepted the commercial viability of natural gas production at Farsi block." (Live Mint, "Eight years on, Farsi block development plan yet to be finalized," 4/21/2010)