Daijiworld Media Network - Jamnagar
Jamnagar, Nov 21: In a major strategic shift aimed at ensuring full global compliance, Reliance Industries Ltd has stopped the use of Russian crude oil at its export-oriented SEZ refinery in Jamnagar, Gujarat. The move comes as the European Union tightens sanctions on fuels processed from Russian-origin crude, prompting India’s largest private refiner to recalibrate its sourcing strategy.
Reliance, which has been India’s biggest purchaser of discounted Russian oil since the Ukraine conflict began, operates the world’s largest single-site refining complex at Jamnagar. The facility comprises two units — a Special Economic Zone (SEZ) refinery dedicated to exports, and an older Domestic Tariff Area (DTA) refinery serving the Indian market.
With Europe and the US being key markets for Reliance’s petrol, diesel and aviation turbine fuel (ATF) exports, the company announced that it halted Russian crude imports into the SEZ unit from November 20. The decision ensures compliance with the EU’s upcoming January 2026 ban on refined products made from Russian crude.
A company spokesperson confirmed that existing stocks of Russian crude already stored at the plant are currently being processed. Once these inventories are exhausted, all fuels produced at the SEZ refinery will be derived exclusively from non-Russian crude. “From December 1, all product exports from the SEZ refinery will be obtained from non-Russian crude oil,” the statement said, highlighting that the transition was completed well ahead of schedule.
The development follows recent US sanctions on Russian energy giants Rosneft and Lukoil, whose supplies had accounted for nearly 1.2 million barrels per day of India’s imports this year. Reliance had earlier stated that it would abide by all international restrictions and adjust its refining operations accordingly.
The company, which purchased nearly USD 35 billion worth of Russian crude since 2022, had begun scaling down imports after the EU’s 18th sanctions package was announced in July. Industry sources noted that Reliance has been actively “recalibrating” its sourcing — shifting procurement to other regions as compliance norms tighten.
Reliance added that all pre-committed cargoes of Russian crude scheduled before October 22 are being honoured, with the final shipment loaded on November 12. Any cargo arriving after November 20 will be directed to the DTA refinery, ensuring that export fuel streams remain fully compliant with EU rules.
Russia currently supplies nearly one-third of India’s crude needs, with private refiners Reliance and Nayara Energy being the biggest buyers. However, with global sanctions tightening and scrutiny intensifying, industry observers expect further shifts in sourcing patterns in the months ahead.