India, April 5 -- An Iran-bound crude shipment that was initially headed for India changed course mid-voyage and began moving towards China, sparking speculation that payment issues or sanctions-related hurdles may have forced the diversion. Now, the ministry of petroleum and natural gas stepped in to clarify that there are no payment problems calling such claims "factually incorrect."

The reports of a possible fallout came after ship-tracking firm Kpler said that the Aframax tanker Ping Shun-which had initially signalled Vadinar in Gujarat as its destination-had altered course and was now heading towards Dongying in China. Track US-Iran war live updates.

Pushing back on the claims, the ministry of petroleum and natural gas said, "There...