Iran has urged Europe to accept the cost of standing up to USA sanction pressures against the Islamic republic.
With the approach of United States sanctions, Japanese refiners have stepped up alternative crude imports from the Middle East and elsewhere.
While during the previous U.S. and European Union sanctions on Iran between 2012 and 2015, the U.S. Administrations had issued waivers for Iranian oil imports for some of its allies like South Korea, Japan, and India, this time the Trump Administration has adopted a much tougher stance and is pushing to bring Iranian oil exports down to zero.
Chennai Petroleum's reduced demand will further cut India's imports from Iran to about 10 million tons in October, lower than previous estimates reported by Reuters. As part of the ongoing negotiations, India has offered to make a significant cut in its purchase from Iran to win waiver from the U.S. but a final word on it is still away, people familiar with the matter said.
Iran is India's third-largest oil supplier behind Iraq and Saudi Arabia.
Looking to win waivers, India is reportedly significantly reducing Iranian oil purchases this month and next.
UCO Bank and IDBI Bank have been identified to route the payment as the two have no exposure to the U.S. financial system.
Iran is an important supplier of oil to Japan, accounting for about 5 percent of its crude imports, and Japanese refiners, together with the government, will try to maintain its good relationship with the Middle Eastern country, said Tsukioka, adding that the US sanctions will not cause a major impact.
Japanese refiners have temporarily suspended Iranian oil loadings ahead of USA sanctions, while they are also closely monitoring government talks with Washington on securing a waiver to continue their imports, Petroleum Association of Japan President Takashi Tsukioka said at a press conference Thursday.
The official said this time around the entire 100 per cent of Iranian oil import bill can be paid in rupees.
With Chennai's absence, Iran is left with just two Indian clients, Managalore Refinery and Petrochemicals Ltd, and IOC.
Pompeo said there is no change in United States policy towards Iran unless Tehran gives up its revolutionary zeal.
In today's meeting - attended by Jaitley, Foreign Minister Sushma Swaraj and Road Minister Nitin Gadkari - it was made a decision to start importing crude oil from the Chabahar port in Iran.