Singapore/New Delhi: Bharat Petroleum Corp Ltd has issued an import tender to buy vacuum gasoil (VGO) for the first time, a company source said on Tuesday.
The company is seeking 10,000 tonnes VGO, for loading over to 1-15 September to Mumbai. The tender closes on 23 July and remains valid till 25 July, according to a tender document seen by Reuters.
VGO is normally used as a feedstock in refineries to produce oil products such as gasoline and diesel.
“I guess with all the upgrading capacity going into India these days, it was a matter of time before they imported,” said a middle distillates trader.
“A lack of VGO tends to suggest either a new cracker or problem with the crude distillation unit if they haven’t bought before,” the trader said.