US Secretary of State Marco Rubio is set to engage with India’s Reliance Industries to enhance its role in processing Venezuelan crude oil and potentially restarting oil production in Venezuela. Speaking in Mumbai, Rubio outlined plans to discuss expanded cooperation with Reliance, which operates the massive Jamnagar refining complex in Gujarat. This facility, recognized as one of the world’s largest, has previously handled Venezuelan crude and possesses the technical capability to process its heavy oil grades.
Reliance’s refineries in Jamnagar have a combined daily processing capacity of approximately 1.4 million barrels of crude oil. While the company imports Venezuelan oil, it does not currently operate production facilities in Venezuela. Rubio’s discussions aim to identify opportunities and challenges for Reliance to increase its involvement in Venezuela’s oil sector, potentially extending to production activities.
This initiative coincides with ongoing efforts by the US and India to finalize a trade agreement. Recently, the US administration waived potential additional tariffs on India’s Russian crude oil purchases, a gesture that could ease the progress of trade negotiations. However, this decision has met with criticism from some US lawmakers advocating for stricter economic measures against Russia due to its conflict in Ukraine. The US administration has mentioned plans to review its tariff policies soon.
During his visit to India, Rubio will also meet with senior government officials, including External Affairs Minister S. Jaishankar, and influential business figures like Reliance Industries’ chairman Mukesh Ambani. This engagement underscores the strategic importance of energy cooperation between the two nations.
India, which imports over 85% of its crude oil to support its burgeoning economy, prioritizes securing diverse and reliable energy sources. Increased purchases of Venezuelan crude could diversify supply options for Indian refiners, while potential investments by Reliance in Venezuela’s oil production sector could further expand bilateral energy cooperation.
These discussions highlight Washington’s broader objective to strengthen commercial ties with India and explore opportunities for US and international partners in Venezuela’s energy sector.