India's Hindustan Petroleum Corporation Limited (HPCL) has selected two of Nigeria's premium crude blends, Utapate and Okwuibome, to supply its Rajasthan refinery in September, highlighting sustained demand for the country's newer and high-quality export grades in the Asian market.
According to Reuters, citing trade sources, HPCL secured two million barrels of the Nigerian crude from commodities trader Glencore through a tender conducted for HPCL Rajasthan Refinery Limited (HRRL). The cargoes are scheduled for delivery in late September to HRRL's 180,000-barrel-per-day refinery in Rajasthan. The financial terms of the transaction were not disclosed.
The acquisition underscores the rising profile of Utapate, one of Nigeria's newest export crude streams introduced in July 2024 after NNPC Limited and Sterling Oil Exploration & Energy Production Company (SEEPCO) completed the first export cargo of 950,000 barrels to Spain.
Produced from the Utapate field in Oil Mining Lease (OML) 13, offshore Akwa Ibom State, the crude grade is regarded as comparable to Nigeria's Nembe blend. It contains approximately 0.0655 per cent sulphur and has a relatively low carbon footprint due to flare gas elimination, qualities that have made it increasingly attractive to refiners seeking cleaner feedstock.
The blend has also strengthened its contribution to Nigeria's offshore production portfolio. In April 2026, when Nigeria's combined crude oil and condensate production averaged 1.663 million barrels per day, Utapate contributed 1.78 million barrels during the month, placing it among the country's leading offshore-producing assets.
The second grade included in the purchase, Okwuibome, is another offshore crude produced in Akwa Ibom State that has continued to attract international refiners because of its favourable refining characteristics and export quality.
HPCL, one of India's largest state-owned refining and petroleum marketing companies, owns a 74 per cent stake in HPCL Rajasthan Refinery Limited, while the Rajasthan state government holds the remaining 26 per cent.
The latest transaction comes as Nigeria continues to record gradual improvements in crude production. Data from the Organisation of the Petroleum Exporting Countries (OPEC) showed that the country's average daily crude oil production rose to 1.530 million barrels per day in May 2026 from 1.489 million barrels per day in April.
The production recovery has coincided with mixed financial results at NNPC Limited. The national oil company reported a profit after tax of ₦2.28 trillion in the first half of 2026, representing a 35.4 per cent decline from the ₦3.53 trillion posted during the corresponding period of 2025. Despite the year-on-year drop, the company remained profitable throughout the period, with monthly earnings improving from March and reaching a six-month high of ₦535 billion in June.
The latest procurement reinforces the growing acceptance of Nigeria's newer crude grades in international markets while highlighting the continued role of export demand in supporting the country's oil production recovery and revenue outlook.