Marco Rubio to visit Jamnagar – Why does the US need Reliance Industries to process Venezuelan oil amid record diesel prices? | Today’s news
US Secretary of State Marco Rubio is on an official visit to India from October 20-21 at the invitation of EAM Jaishankar as the two countries eye bilateral trade and other strategic agreements. This is Rubio’s second visit to India in 2026 after an earlier trip to New Delhi in May.
During the two-day visit, Rubio will also travel to Jamnagar where he will meet Reliance Industries chairman Mukesh Ambani on Wednesday. Reliance operates the world’s largest refinery complex in Jamnagar, and the meeting comes as the US considers expanding sources of diesel supplies to the country amid fears of shortages and rising fuel prices caused by the war with Iran.
The US needs to process Venezuela’s oil
One option the U.S. has to offset the oil supply crisis through the Strait of Hormuz is to refine more oil from Venezuela. Following the capture and extradition of longtime Venezuelan President Nicolas Maduro earlier this year, the US secured majority control of more than 65 billion barrels of the country’s proven oil reserves. According to the White House, Venezuela’s interim authorities have granted privately owned oil company North American Blue Energy Partners (NABEP) a 100-year concession for 17 oil fields.
While the US has begun processing imported heavy oil on a large scale, Washington has been unable to take full advantage of the deal due to poorly maintained and aging infrastructure in Venezuela.
Reliance is equipped to process Venezuelan oil
This is where Reliance comes into the picture for the US, as the Mukesh Ambani-led firm has a long history of refining heavy Venezuelan crude. The two refineries that Reliance operates in Jamnagar have a combined capacity of about 1.4 million barrels per day and are specially designed to process ultra-heavy, waxy and high sulfur crudes such as those from Venezuela.
What Rubio said
“Tomorrow we’ll talk about (refining more Venezuelan oil) with Reliance… They’ve done it in the past and I think as more Venezuelan oil comes online, it’s something they can do,” Rubio told reporters in Mumbai on Monday.
Asked if he would discuss with Venezuela the possibility of Reliance extracting oil on its own, Rubio said the matter had been discussed in the past and would come up again. While Reliance is Venezuela’s main oil refiner, it does not operate in the South American country.
“We’re going to look at what the holdup is and what the opportunities are … it’s a company that has had a presence in Venezuela in the past and its refining capabilities are significant,” he said.
