'Our refineries are robust!': India can process Venezuelean crude oil when available; here's what IOCL chairman said

Indian Oil Corporation Ltd (IOCL) said that the country's refineries are capable of processing Venezuelan crude if supplies resume. "If at all things start settling down, if at all a lot of crude starts coming out of Venezuela, then can't we import oil from Venezuela?" he said.The executive further added that the company, used to process Venezuelean crude a decade back and can do so again. "Venezuelan crude earlier when it was available, like 10 years back or eight years back when it used to be there in the market," Sahney said at the World Economic Forum (WEF) in Davos. Speaking about the capabilities of the refineries, the chairman highlighted that they are strong and can process the supplies. "So our refineries are varied, our refineries are robust. They can process in an admixed manner, but we can process Venezuelan crude if and when it is made available."The remarks follow the US’s capture of outsted Venezuelan President Nicolas Maduro in a military operation and an agreement to send 50 million barrels of oil, worth $5.2 billion, to the interim Venezuelan government.Sahney also highlighted India’s favourable economic and energy landscape. "India is growing at a phenomenal rate, and everybody is interested in talking about doing business with India," he said.Commenting on global crude prices, he noted, "Crude has been trading in the range of $60-65 per barrel over the past several months. For the better part of the last six months, they were at $60 or below. This is a good zone where economic growth is also happening and sellers of crude are comfortable."Pointing out India’s reliance on imports, he said, "India remains heavily dependent on imports to meet its energy needs, with IOCL importing about 85-87% of its crude oil requirements. The current price band is supportive for economic stability."Sahney explained that refining margins depend on more than crude prices. "Refining margin is a very broad term. It is finally affected by the cracks in the international market. Today, cracks are working fine. They have returned to normalcy but are still in a healthy zone," he said.He added that government policy has also supported the sector. "There is no problem on the policy side. Whatever support is required has already been given. It is up to us to improve profitability by increasing efficiency, reducing costs and optimising the supply chain," Sahney said.Moving forward, Indian Oil plans to continue investing across the energy value chain, including downstream petrochemicals and cleaner energy solutions.The WEF’s 56th Annual Meeting runs from January 19 to 23, 2026, in Davos-Klosters, with around 3,000 participants from over 130 countries, including world leaders, CEOs, innovators and policymakers, under the theme "A Spirit of Dialogue."