The Indian Oil Corporation (IOC) is actively pursuing plans to acquire its own crude oil and liquefied petroleum gas (LPG) tankers to build a resilient supply chain and insulate operations from geopolitical volatility in West Asia. Driven by soaring spot freight rates and security threats around the Strait of Hormuz and Red Sea corridors, IOC issued tenders to purchase vessels and is exploring domestic construction options under the ‘Make in India’ policy. While long-term charters have shielded the refiner with transport costs of 2-2.50 per barrel for crude, spot rates have escalated dramatically to 8-10 per barrel, and LPG spot freight has surged to 160-180 per tonne. To navigate blockades in traditional Middle Eastern channels, IOC has aggressively diversified its sourcing strategy, raising Russian crude imports to roughly 55 percent and expanding purchases from Venezuela, Brazil, and Africa. Consequently, spot market purchases accounted for 87 percent of IOC’s crude intake during the first half of FY27, underlining a massive shift in procurement dynamics.