UPSC Prelims Practice Questions — Oil conundrum

Q1. Which one of the following countries was India's single largest source of crude oil imports in June 2026, supplying more than half of India's total crude imports in that month?

  • A. Russia
  • B. Iraq
  • C. Saudi Arabia
  • D. United Arab Emirates

Q2. With reference to India's crude oil import basket in April 2026, consider the following countries as reported among India's top five crude oil suppliers for that month: 1. Russia 2. Iraq 3. Venezuela 4. Brazil Which of the above is/are correctly identified?

  1. Russia
  2. Iraq
  3. Venezuela
  4. Brazil
  • A. 1, 2 and 3
  • B. 1, 3 and 4
  • C. 2 and 4 only
  • D. 1, 2 and 4

Q3. As of early 2026, Russia had been India's largest crude oil supplier for 45 consecutive months. This implies that Russia first displaced the traditional Gulf suppliers at the top of India's crude import basket in which one of the following years?

  • A. 2022
  • B. 2020
  • C. 2023
  • D. 2024

Q4. Which one of the following is India's largest state-owned refiner, reported to have settled payments for some Russian crude cargoes in Chinese yuan while routing most such payments through UAE dirhams?

  • A. Indian Oil Corporation Limited
  • B. Bharat Petroleum Corporation Limited
  • C. Hindustan Petroleum Corporation Limited
  • D. Oil and Natural Gas Corporation

Q5. The price cap on seaborne Russian crude oil, originally fixed at USD 60 per barrel in December 2022, was adopted under the authority of which one of the following groupings, acting alongside the European Union and Australia?

  • A. G7
  • B. OPEC+
  • C. International Energy Agency
  • D. G20

Q6. With reference to the Western price-cap regime on Russian crude oil, consider the following statements: 1. The cap operates by barring firms in the participating jurisdictions from providing insurance, shipping and allied services when Russian crude is sold above the capped price. 2. The European Union has proposed lowering the cap from USD 60 to USD 45 per barrel. 3. The cap legally prohibits every non-G7 country, including India, from purchasing Russian crude at any price whatsoever. 4. The 'shadow fleet' refers to tankers of opaque ownership that carry Russian crude outside price-cap-compliant service providers. Which of the statements given above is/are correct?

  1. The cap operates by barring firms in the participating jurisdictions from providing insurance, shipping and allied services when Russian crude is sold above the capped price.
  2. The European Union has proposed lowering the cap from USD 60 to USD 45 per barrel.
  3. The cap legally prohibits every non-G7 country, including India, from purchasing Russian crude at any price whatsoever.
  4. The 'shadow fleet' refers to tankers of opaque ownership that carry Russian crude outside price-cap-compliant service providers.
  • A. 1 and 3
  • B. 1, 2 and 4
  • C. 2, 3 and 4
  • D. 1 and 4 only

Q7. The Strait of Hormuz, whose closure in 2026 forced Indian refiners to reroute cargoes, is a maritime chokepoint through which approximately what share of globally traded crude oil transits?

  • A. About 20 per cent
  • B. About 5 per cent
  • C. About 40 per cent
  • D. About 60 per cent

Q8. During the 2026 Strait of Hormuz disruption, the coordination of emergency crude sourcing by Indian oil marketing companies and the monitoring of petroleum supply security fell within the remit of which one of the following ministries?

  • A. Ministry of Petroleum and Natural Gas
  • B. Ministry of Commerce and Industry
  • C. Ministry of Ports, Shipping and Waterways
  • D. Ministry of External Affairs

Q9. Following the February 2026 India-US trade understanding — under which Washington withdrew its additional 25 per cent punitive tariff citing India's commitment on Russian oil — the US subsequently imposed a 10 per cent tariff on all countries for 150 days under which one of the following legal provisions?

  • A. Section 122 of the Trade Act
  • B. Section 232 of the Trade Expansion Act
  • C. Section 301 of the Trade Act
  • D. The International Emergency Economic Powers Act

Q10. With reference to Venezuela's re-emergence as a crude oil supplier to India in 2026, consider the following statements: 1. Venezuela shipped about 298,000 barrels per day of crude to India in April 2026, up from zero in the preceding months. 2. Reliance Industries holds a US licence permitting it to purchase crude directly from PDVSA. 3. Venezuela figured among India's top five crude oil suppliers in April 2026. 4. Most Venezuelan crude bought by India was lifted by ONGC Videsh rather than by private refiners, on account of its refinery complexity. Which of the above is/are correctly identified?

  1. Venezuela shipped about 298,000 barrels per day of crude to India in April 2026, up from zero in the preceding months.
  2. Reliance Industries holds a US licence permitting it to purchase crude directly from PDVSA.
  3. Venezuela figured among India's top five crude oil suppliers in April 2026.
  4. Most Venezuelan crude bought by India was lifted by ONGC Videsh rather than by private refiners, on account of its refinery complexity.
  • A. 1, 2 and 3
  • B. 1 and 4 only
  • C. 2, 3 and 4
  • D. 1, 3 and 4

Q11. India's strategic petroleum reserve caverns at Vishakhapatnam, Mangaluru and Padur are built and maintained on behalf of the Government of India by which one of the following entities?

  • A. Indian Strategic Petroleum Reserves Limited
  • B. Petroleum Planning and Analysis Cell
  • C. Oil Industry Development Board
  • D. Engineers India Limited