India’s Reliance completes transition away from Russian oil

India’s Reliance Industries has ceased importing Russian crude oil to its Jamnagar refinery in western Gujarat, effective November 20, a company spokesperson confirmed on November 20.

The conglomerate has a long-term agreement with Russian major Rosneft to buy nearly 500,000 barrels of crude per day. While Reliance has maintained its relationship with existing oil suppliers, it said it would comply with international sanctions against Moscow.

Britain, the European Union, and the United States have imposed sanctions on Russia over its war in Ukraine, with new US measures targeting its two largest oil producers, Rosneft and Lukoil.

From December 1, all products exported from Reliance’s refinery will be sourced from non-Russian crude, the spokesperson said. The transition was completed ahead of schedule to ensure full compliance with product-import restrictions coming into effect on January 21.

The US has given companies until November 21 to wind down dealings with Russian oil producers. Meanwhile, the EU has stated that, from January 21, it will not accept fuel produced at refineries that processed Russian crude within 60 days prior to the bill of lading date.

Europe accounts for 28% of Reliance’s exports.

The company also confirmed that all pre-committed shipments of Russian crude as of October 22 are being honoured, since transport arrangements had already been made. The final such cargo was loaded on November 12. Any cargoes arriving on or after November 20 will be received and processed at the refinery under the Domestic Tariff Area, Reliance said.

By Tamilla Hasanova