• US grants a temporary waiver on Iranian oil sanctions to ease supply concerns.
• Estimated 140 million barrels of oil may be unlocked for global markets.
• Iran denies having surplus crude available for export despite US claims.
• Indian refiners are considering resuming purchases from Iran following the waiver.
• Global oil prices are reacting to supply disruptions in the Middle East.

The US Treasury has temporarily lifted sanctions on Iranian oil loaded onto vessels, allowing its delivery and sale through April 19. This strategic maneuver aims to address a growing supply crisis exacerbated by ongoing conflicts in the Middle East. Treasury Secretary Scott Bessent stated that this decision enables approximately 140 million barrels of oil to potentially reach global markets, thereby enhancing energy availability and stabilizing prices, according to Channel News Asia and South China Morning Post.

This sanction waiver applies solely to Iranian crude and petroleum products already in transit as of March 20, NOT permitting new purchases or production. Bessent remarked that this action follows similar relief provided for Russian oil at sea, with the intention of maintaining global energy flow amid the Iranian blockade of the Strait of Hormuz, a critical route for world oil transportation, according to India Times and India Times.

Despite the waiving of sanctions, Iran's oil ministry has asserted there are no surplus stocks available for international markets. Saman Ghoddoosi, an Iranian oil spokesman, stated that the US claim is simply "aimed at giving hope to buyers," underlining that Iran is not able to supply any crude currently floating at sea, as per reports from India Times and India Times.

Indian refiners are now considering resuming imports of Iranian oil, contingent upon the clarity of new regulations from Washington regarding payment terms. They are recognizing the need to replenish their crude supplies, which are critically low compared to other Asian buyers. This potential resumption follows the US waiver and could stabilize supplies, as Indian officials express optimism about tapping into Iranian grades, which suit their refining capacities, as detailed by India Times and India Times.