The Reliance Industries Ltd has been granted a general licence by the United States, allowing it to directly buy oil from Venezuela without breaching U.S. sanctions, according to sources. This licence permits Reliance to purchase, export, and refine Venezuelan crude that has already been produced, easing earlier restrictions on such transactions.
This move comes as the U.S. has relaxed sanctions on Venezuela’s energy sector, including plans for a $2 billion oil supply deal with Caracas and a much larger effort to rebuild the country’s oil industry. With the licence in hand, Reliance — which had halted Venezuelan oil imports in 2025 due to sanctions — may help accelerate Venezuela’s exports of crude oil while cutting costs at its own facilities.
The company recently bought about 2 million barrels of Venezuelan oil from the trader Vitol under a related U.S. licence regime, marking a return to Venezuelan crude after a long pause. Access to discounted heavy crude from Venezuela could help Reliance diversify away from more expensive supplies, such as Russian oil, and improve refining margins, especially at its large refining complex in Jamnagar.
The licence reflects broader changes in U.S. policy that aim to revive Venezuelan oil flows following political shifts in Caracas and may also signal closer energy and trade cooperation between India and the U.S. as global oil markets realign.
