India's Reliance Industries has secured a U.S. general license to purchase Venezuelan oil directly, bypassing sanctions that halted imports in early 2025. The license, granted after Venezuelan President Nicolas Maduro's capture earlier this month, allows Reliance to buy, export, and refine Venezuelan-origin crude without violating U.S. restrictions.

Washington's move aims to facilitate a $2 billion oil supply deal between Caracas and Washington, alongside a $100 billion reconstruction plan for Venezuela's oil industry. The general license specifically authorizes the purchase and refining of Venezuelan oil that has already been extracted. This development comes as Reliance seeks to replace Russian crude supplies, which Indian refiners are avoiding for April deliveries and potentially longer.

Reliance, operator of the world's largest refining complex with 1.4 million barrels per day capacity, had previously been a regular buyer of Venezuelan oil before sanctions forced it to stop. The company purchased 2 million barrels from trader Vitol earlier this month under separate U.S. licenses granted to trading firms. Direct access to Venezuelan crude at discounted prices offers Reliance a cost-effective alternative to Russian heavy oil, potentially strengthening its position in global refining markets while helping New Delhi negotiate trade agreements with Washington.