New Delhi: India’s largest private refiner, Reliance Industries Limited (RIL), has halted purchases of Russian crude oil in January 2026, amid growing concerns over global sanctions, even as state-run oil companies sharply increased imports to take advantage of steep discounts.
According to industry sources and ship-tracking data, Reliance has not bought a single barrel of Russian crude during the first three weeks of January. This marks a significant shift for the company, which had been one of the biggest buyers of discounted Russian oil since 2022.
In contrast, Indian state-owned refiners ramped up imports, lured by discounts that have widened to nearly $7 per barrel, almost three times higher than mid-2025 levels.
State Refiners Step Up Purchases
Data from maritime intelligence firm Kpler shows that Indian Oil Corporation (IOC) imported an average of 470,000 barrels per day (bpd) of Russian crude in January — its highest-ever level. This compares with 427,000 bpd in December 2025.
Similarly, Bharat Petroleum Corporation Limited (BPCL) raised its Russian crude intake to 164,000 bpd, up from 143,000 bpd the previous month.
Together, IOC and BPCL accounted for nearly 60% of India’s Russian crude imports in January.
Private Refiners Turn Cautious
Along with Reliance, several other refiners — including HPCL-Mittal Energy Limited (HMEL), Mangalore Refinery and Petrochemicals Limited (MRPL), and Hindustan Petroleum Corporation Limited (HPCL) — did not purchase Russian crude during the month.
A Reliance spokesperson had earlier confirmed that the company received no Russian shipments in January, while its purchases in December had already dropped by half compared to November. Analysts say private refiners are increasingly wary of exposure to sanctions-related risks.
Nayara Energy Maintains Russian Dependence
Nayara Energy, backed by Russia’s state-owned oil giant Rosneft, continued sourcing Russian crude. The company imported about 469,000 bpd in January, as limited alternative supplies due to European Union sanctions forced it to rely heavily on Russian barrels.
Overall Imports Edge Lower
India’s total imports of Russian crude slipped to around 1.1 million bpd in the first three weeks of January, down from 1.2 million bpd in December. Imports had peaked at 1.84 million bpd in November 2025.
Market experts attribute the decline to the impact of U.S. sanctions imposed in late November on major Russian oil producers Rosneft and Lukoil, which are now beginning to disrupt trade flows.
New Supply Routes Emerging
Kpler analyst Sumit Ritolia expects India’s average Russian crude imports to settle around 1.2 million bpd for January 2026. He noted that many Indian refiners are now sourcing Russian oil through non-sanctioned intermediaries rather than buying directly from sanctioned entities.
Direct shipments from Rosneft and Lukoil are increasingly limited to Nayara Energy, while un-sanctioned Russian suppliers are emerging as key exporters to India.