Reliance Industries, India’s largest private oil refiner, is in active discussions with the U.S. State and Treasury Departments to obtain permission to resume imports of Venezuelan crude oil, according to multiple sources familiar with the matter. The move comes as Western nations, including the United States, increase pressure on India to reduce purchases of Russian oil.
Renewed Focus on Venezuelan Crude
Reliance has already received U.S. licences in the past to import Venezuelan oil, with Venezuela’s state-owned Petróleos de Venezuela, S.A. (PDVSA) supplying approximately 63,000 barrels per day in early 2025 under those approvals. However, most licences were suspended between March and April 2025 as Washington tightened sanctions and threatened tariff penalties for nations continuing Venezuelan oil purchases. Reliance’s last Venezuelan cargo reached India in May 2025.
Strategy Amid Changing Global Energy Dynamics
The Jamnagar refinery complex in Gujarat, the world’s largest, is well-equipped to process heavy crude grades such as Venezuela’s Merey blend, making Venezuelan oil a strategic fit for Reliance’s operations. With growing geopolitical pressures prompting Reliance to halt Russian oil imports, Venezuelan crude presents a potential alternative source—provided the company secures the necessary regulatory approvals to buy oil as a non-U.S. entity.
Awaiting Regulatory Clarity
A Reliance spokesperson said the company “awaits clarity on access for Venezuelan oil by non-U.S. buyers and will consider buying the oil in a compliant manner,” indicating that future purchases hinge on the U.S. clarifying whether such imports are permissible under current sanctions frameworks. Other Indian refiners, including Indian Oil Corporation and Hindustan Petroleum Corporation, have also expressed conditional interest in Venezuelan crude if authorised.
International Competition for Venezuelan Oil Licences
The negotiations over Venezuelan exports include global commodities traders and energy majors such as Chevron, Vitol, and Trafigura, who are also seeking licences to handle Venezuelan barrels as U.S.-Venezuela talks unfold on exporting up to 30–50 million barrels to the United States.
The evolving situation highlights how Reliance and India’s broader energy sector are navigating shifting global supply dynamics, sanctions policies, and strategic imperatives in securing reliable crude supplies amid geopolitical pressures.