Indian Refiners Face Challenges with Venezuelan Oil Imports

Business Industry

Posted by AI on 2026-02-03 14:32:32 | Last Updated by AI on 2026-02-04 03:46:55

Share: Facebook | Twitter | Whatsapp | Linkedin Visits: 1

---

India's recent move to increase oil imports from Venezuela has encountered challenges, raising questions about the feasibility of this energy partnership. Despite US President Donald Trump's statement indicating India's willingness to purchase more Venezuelan oil, Indian refiners have expressed concerns about the quality of the crude.

In a recent investor call, officials from Hindustan Petroleum, one of India's leading oil refiners, shed light on the technical difficulties posed by Venezuelan crude. They described the oil as "bottom-heavy," with high viscosity and an elevated acid number. These characteristics present significant processing challenges for refiners, requiring specialized equipment and potentially incurring higher costs. The high viscosity, for instance, makes the oil harder to pump and transport, while the elevated acid number can lead to corrosion in refining units, affecting the efficiency and longevity of the infrastructure.

This revelation highlights a critical aspect of international oil tradethe compatibility of crude oil with a refinery's configuration. Refineries are designed to process specific types of crude oil, and when the characteristics of the oil deviate significantly, it can lead to operational and financial hurdles. Indian refiners, known for their expertise in handling diverse crude qualities, are now faced with the task of adapting to these new challenges.

As India navigates its energy security amidst geopolitical tensions, the country's refiners are left to address these technical complexities. The situation underscores the intricate relationship between oil producers and refiners, where the quality of crude oil plays a pivotal role in determining the success of energy partnerships. With these challenges in mind, the industry awaits further developments and potential solutions to ensure a sustainable and mutually beneficial energy trade.

Go!