Reliance Secures US Authorisation to Import Venezuelan Oil

Reliance Industries Ltd, operator of the world’s largest refining complex, has won general authorisation from US authorities to buy Venezuelan oil. The approval follows Washington’s updated licensing framework that allows select global refiners and traders to resume Venezuelan crude purchases.

Reliance has already acquired 2 million barrels of Venezuelan crude from trader Vitol at a discount to Brent, marking its return to the South American market after nearly a year. The deal underscores India’s strategy to diversify energy imports, especially as refiners face pressure to reduce reliance on Russian oil.

Key Highlights

• US Approval: Reliance granted general authorisation to import Venezuelan crude.
• First Purchase: 2 million barrels secured for April delivery.
• Pricing Advantage: Crude bought at a discount of $6.5–$7 per barrel to Brent.
• Strategic Diversification: Move helps India balance energy imports amid global supply shifts.
• Market Context: US licensing follows political changes in Venezuela and renewed supply agreements.

Reliance’s re-entry into Venezuelan oil trade highlights both India’s energy diversification strategy and the evolving geopolitical landscape of global crude markets.

Sources: Reuters, Financial Express, Economic Times