Reliance to Resume Purchases of Sanctions-Compliant Russian Oil in February and March

Reliance Industries Ltd (RIL), operator of the world’s largest refining complex, is set to resume purchases of sanctions-compliant Russian crude oil in February and March, according to market sources, following a one-month pause in January.

The resumption comes after Reliance temporarily halted Russian crude intake as it recalibrated operations at its Jamnagar complex to maintain continued access to European export markets amid tighter enforcement of sanctions-linked trade restrictions.

Reliance last received Russian crude in December 2025, after using a one-month U.S. Treasury concession period that allowed it to wind down transactions involving sanctioned producer Rosneft beyond a November compliance deadline, according to sources.

Earlier this month, Reliance said it had not received any Russian crude in the previous three weeks and did not expect any Russian deliveries through the remainder of January.

Strategic Compliance: EU 60-day rule reshapes refining strategy

The timing of the February resumption is significant as European enforcement tightens.

From January 21, the European Union said it will not accept fuel produced at refineries that received or processed Russian oil within 60 days prior to the bill-of-lading date, according to market participants and published guidance.

To ensure continued access to the European diesel and jet fuel market, Reliance has implemented a dual-refinery strategy at Jamnagar:

• SEZ Refinery (704,000 bpd): The export-oriented refinery has been kept free of Russian crude feedstock since late November, enabling product exports that comply with the EU’s non-Russian sourcing requirement.
• DTA Refinery (660,000 bpd): The India-focused refinery is expected to process incoming Russian cargoes in February and March, sourced from non-sanctioned sellers to remain compliant with global restrictions.

Reliance shifts sourcing mix, adds Middle East barrels

While Reliance is returning to Russian crude, the volumes are expected to remain well below the peak levels previously imported under long-term arrangements.

To offset reduced Russian intake, market sources said Reliance has increased spot purchases of Middle Eastern crude, including grades such as Iraq’s Basrah Medium, Qatar’s Al Shaheen, and UAE’s Upper Zakum.

A Reliance executive has recently highlighted the need to diversify supply sources amid sudden sanctions-related disruptions, noting the company is prioritising stable volumes from national oil companies.

Despite the expected restart of Reliance’s Russian buying, India’s broader imports of Russian crude are expected to remain subdued through February and March, as refiners continue to balance discounted supply against rising compliance and secondary sanctions risk.

Why This Matters

1. Europe now evaluates refinery feedstock history, not just crude origin at port
2. Reliance’s dual-refinery strategy may become a template for other Asian refiners
3. The shift reinforces a wider trend: Middle East regaining share as sanctions tighten

Summary

Reliance Industries is set to resume buying sanctions-compliant Russian crude in February and March 2026 after pausing shipments in January. The company has adopted a dual-refinery strategy at Jamnagar — keeping its export-oriented SEZ refinery free of Russian crude to preserve EU market access, while routing Russian cargoes to its India-focused refinery. Reliance has also increased Middle East crude purchases to diversify supply amid sanctions-related uncertainty.

FAQs

Q1: Why did Reliance pause Russian crude intake in January?

To maintain compliance with stricter EU rules that restrict the import of fuels produced at refineries that recently processed Russian oil, and to reduce sanctions-related risk.

Q2: Will Reliance import Russian oil again?

Market sources say Reliance is expected to receive sanctions-compliant Russian crude shipments in February and March.

Q3: What is the EU “60-day rule”?

The EU will not accept fuels produced at refineries that received or processed Russian crude within 60 days prior to the bill-of-lading date.

Q4: How is Reliance staying compliant?

By running a dual approach: keeping the 704,000 bpd export-oriented SEZ refinery free of Russian crude while processing Russian barrels in its 660,000 bpd India-focused refinery.

Q5: Which alternative crude grades is Reliance buying?

Traders said Reliance has increased Middle East spot purchases, including Basrah Medium, Al Shaheen, and Upper Zakum.