# IOC to buy crude, LPG ships as West Asia crisis exposes shipping risks

> Indian Oil Corporation plans to acquire crude oil and LPG carriers amid West Asia shipping disruptions.
- Title: IOC to buy crude, LPG ships as West Asia crisis exposes…
- Summary: Indian Oil Corporation plans to acquire crude oil and LPG carriers amid West Asia shipping disruptions.
- Keywords: indian oil corporation, crude oil, lpg carriers, strait of hormuz, shipping strategy, ioc, west asia crisis, shipping risks, The Economic Times
- Source: The Economic Times — https://economictimes.indiatimes.com/industry/energy/oil-gas/indian-oil-corporation-to-buy-crude-lpg-ships-as-west-asia-crisis-exposes-shipping-risks/articleshow/135652440.cms
- Author: PTI
- Published: 2026-11-08T05:43:00+00:00
- Read time: 1 min
- Topics: indian oil corporation, crude oil, lpg carriers, strait of hormuz, shipping strategy, ioc, west asia crisis, shipping risks
## IOC plans vessel acquisitions
Indian Oil Corporation aims to enhance control over its energy supply chain by acquiring crude oil and LPG carriers.
## West Asia tensions disrupt shipping
Geopolitical tensions in West Asia disrupt commercial movement near the Strait of Hormuz, pushing up freight rates and war-risk insurance costs.
## IOC's current shipping strategy
The company currently has three crude oil vessels and nine LPG vessels on time charter, providing significant cost savings during the crisis.
## Freight rate increases
Time-chartered crude carriers cost USD 2-2.50 per barrel versus spot-market rates of USD 8-10 per barrel, while LPG freight rates rose to USD 160-180 per tonne.
## IOC's crude sourcing mix
IOC sourced 55 per cent of crude from Russia, 24 per cent from Middle East, 10 per cent from Africa, 7 per cent from Brazil, 2-5 per cent from US, and 3-4 per cent from…
## Inventory and profitability
The company increased crude inventories to 39 days, held 20 days of LPG inventory, and reported a net profit of Rs 21,630 crore in the September quarter.
## Key takeaway

Indian Oil Corporation will buy crude oil and LPG ships to secure energy supply chains as West Asia tensions disrupt shipping routes.