Reliance Industries, the largest buyer of Russian crude in India, said it would be “complying fully” with the government of India’s guidance on import of crude oil for its refinery in the wake of restrictions imposed on Russian oil purchase by the United States, the European Union and the United Kingdom.
The company, India’s largest commercial enterpriseby market capitalisation,also assured that it would continue to be able to meet the requirement of domestic market and exports.
“As is customary in the industry, supply contracts evolve to reflect changing market and regulatory conditions. Reliance will address these conditions while maintaining the relationships with its suppliers,” a Reliance spokesperson said in a statement in the evening.
“Reliance is confident that its time-tested, diversified crude sourcing strategy will continue to ensure stability and reliability in its refinery operations for meeting the domestic and export requirements, including to Europe.”
Last week, the company bought crude from West Asia, signalling its intent even before the sanction was imposed on two Russian oil majors. RIL has a term contract with Rosneft to procure crude directly from the seller, without intermediaries and traders.
It purchased several grades, including Saudi Arabia’s Khafji, Iraq’s Basrah Medium and Qatar’s Al-Shaheen, along with some US West Texas Intermediate crude, Bloomberg reported on Friday, adding that cargoes are expected to be delivered in December or January.
The company said it is still assessing the implication of the restrictions, including the new compliance requirements. “We will comply with the EU’s guidelines on the import of refined products into Europe. Whenever there is any guidance from the Indian government in this respect, as always, we will be complying fully.
“Reliance has consistently aligned itself with the objectives of ensuring India’s energy security,” the statement noted.