India is buying Russian oil again: Reliance returns to discounted supplies
25 December 20:48
The Indian company Reliance Industries Ltd. has resumed purchases of Russian crude oil using a supply scheme through non-sanctioned traders and sends raw materials to its refinery in Jamnagar. This was reported byBloomberg with reference to informed sources, "Komersant Ukrainian" reports.
How the supplies are made
According to the agency’s interlocutors, India’s largest refinery, located in the state of Gujarat, has chartered Aframax tankers from RusExport to transport Russian oil.
These are not direct purchases from sanctioned producers, but supplies from Russian companies that are not currently subject to US restrictions, allowing Indian refiners to formally comply with the sanctions regime.
US sanctions and Indian refiners’ response
Washington has imposed restrictions on two key Russian oil producers, which has forced Indian refineries to
- look for alternative Russian supplies outside the sanctions lists;
- or switch to more expensive oil from other countries.
Reliance, which had previously been one of the largest buyers of Russian oil, temporarily reduced the processing of this raw material in an effort to minimize sanctions risks.
What is happening at the Jamnagar refinery
Reliance’s Jamnagar refinery is the largest in the world and consists of two main parts:
- a 600 thousand barrels per day facility focused on the Indian domestic market;
- an export-oriented unit with a capacity of 700 thousand barrels per day.
According to Bloomberg, the export part last received Russian oil on November 20. Since then, all Russian imports have been directed to the plant, which operates for domestic needs.
Time lag and recent contracts
The agency’s sources note that Reliance has been given an additional month to accept tankers under contracts concluded before October 22. The last cargo under this arrangement arrived in India on December 17.
This allowed the company to partially fulfill its previous obligations without formally violating the new sanctions rules.
Imports are declining, but not disappearing
Indian officials this month predict that Russian oil imports will fall to about 800 thousand barrels per day, down from 1.9 million barrels per day in November. Some refineries are expected to temporarily stop accepting Russian crude.
At the same time, significant discounts are forcing the market to look for workarounds: four of India’s seven largest refineries began buying Russian oil that is not subject to sanctions again in December.
As of October 2025, Reliance Industries remained the largest importer of Russian oil in India, purchasing it under a long-term contract with Rosneft. In November, the company announced its intention to reduce or stop processing Russian raw materials at some of its facilities due to the pressure of sanctions.
