Reliance Denies Russian Crude Intake at Jamnagar, Calls Reports ‘Blatantly Untrue’

Reliance Industries Ltd (RIL) has issued a forceful denial regarding reports that its flagship Jamnagar refinery complex is set to receive fresh shipments of Russian crude oil, labeling the claims as “blatantly untrue” and damaging to its global reputation.

In a statement released on social media today, the conglomerate clarified that its Gujarat-based refining hub has not received any Russian crude cargoes over the past three weeks and has no scheduled deliveries for January 2026. The clarification follows a Bloomberg report alleging that three tankers carrying approximately 2.2 million barrels of Russian Urals crude were signaling Jamnagar as their destination.

The Battle Over Vessel Data

The company specifically targeted the reliability of vessel-tracking data, such as that provided by Kpler, which often relies on automated transponder signals that can be misleading. “Projected destinations shown by shipping transponders do not confirm actual purchase contracts or final discharge points,” Reliance stated. Industry sources suggest these cargoes may actually be destined for state-owned refiners like BPCL’s Bina refinery.

The 50% Tariff Pressure

The denial underscores the precarious position of Indian refiners following the August 2025 trade reset. Washington escalated economic pressure by imposing a total 50% tariff on Indian imports as a penalty for continued Russian energy trade. Since then, private refiners like RIL and Nayara Energy have pivoted their sourcing strategies to West Asia, Africa, and the U.S. to mitigate exposure to secondary sanctions.

Market Reaction: ₹1 Lakh Crore Wiped Out

Investor reaction was swift and severe. RIL shares plunged as much as 5.1% today, hitting an intraday low of ₹1,497 on the BSE. This marks the stock’s worst single-day performance in 18 months, as the market weighs the loss of discounted Russian feedstock against the risk of U.S. trade retaliation.

Brief Summary

Reliance Industries has denied reports that tankers carrying Russian crude are en route to Jamnagar, calling the claims “blatantly untrue.” The company confirmed it has not received Russian oil in three weeks and expects none in January. This move follows President Trump’s Jan 4 claim that India is cutting Russian imports to “make him happy” and comes amid a massive 5.1% crash in RIL stock as the market adjusts to the new high-tariff reality.

Frequently Asked Questions (FAQs)

Q1: Why did Reliance issue such a strong denial? 

RIL exports high-value fuel to the U.S. and Europe. Any perception of bypassing sanctions could lead to secondary sanctions or loss of access to Western markets.

Q2: What is the “Mogambo Khush Hua” controversy? 

Opposition leaders in India have criticized the oil cut as “capitulating” to U.S. pressure, following President Trump’s remarks that PM Modi is cutting Russian oil to secure a trade deal.

Q3: Where is RIL getting oil now? 

RIL has pivoted to non-Russian sources, including the U.S., Saudi Arabia, and Iraq, to ensure its export-oriented SEZ refinery remains compliant with EU and U.S. regulations.

Q4: Is the 50% tariff still in effect? 

Yes. The Trump administration’s reciprocal and penalty tariffs remain the primary economic hurdle for Indian exporters in 2026.