The largest oil refiner in India, Reliance Industries Ltd., has resumed purchases of Russian oil for its plant in the state of Gujarat, Bloomberg reports citing sources. The corporation is buying raw materials at a discount through suppliers that are not subject to sanctions.
Reliance has signed a contract for the chartering of Aframax-class tankers with RusExport to transport oil to its refinery, which has a capacity of 660,000 barrels per day and is focused on the local market. According to Indian officials, this could help partially offset the sharp decline in oil imports from Russia, which, they say, fell by more than half in December, according to Bloomberg data.
However, as Bloomberg points out, Russian oil exports in December reached their highest level since May 2023. The increase in export volumes is likely linked to a significant reduction in refining caused by drone strikes on Russian oil refineries.
Since November 20, Reliance has halted purchases of Russian oil due to the international sanctions imposed. A month prior, the U.S. imposed blocking sanctions on Rosneft and LUKOIL.
