New Delhi, Dec. 19 -- Ongoing restrictions on Russian crude and refined product flows, coupled with an oversupplied global oil market, are expected to keep crude prices subdued while supporting refining margins, a trend that has direct implications for state-run oil marketing companies IOC, BPCL and HPCL, according to a report by Nuvama Institutional Equities.

The report highlights that sanctions on Russian oil have resulted in a build-up of stranded crude inventories, much of it held at sea. As these barrels are gradually discharged into markets such as India, global supplies are expected to remain in surplus, putting downward pressure on crude prices. FGE Nexant estimates a surplus of around 2 million barrels per day (mbpd), with Brent...