Anant Ambani, the youngest son of billionaire Mukesh Ambani and Nita Ambani, revealed the multitude of challenges faced by Reliance Industries over the past year in the energy sector, particularly in the purchase of crude oil from Russia.
What did Anant Ambani say?
Speaking at the Reliance AGM 2025, Anant Ambani revealed there is pressure on Reliance in purchasing Russian oil, but the oil-to-telecom conglomerate also focused on green energy investments, spending its funds wisely, ensuring good profits despite a challenging year for the country’s energy sector.
Anant, who was appointed as executive director on the board of Reliance in May this year, revealed that Reliance faced a plethora of challenges in the energy business, including disruptions in the movement of goods, new ways of doing business, and an excess supply of petrochemicals.
However, the company overcame these difficulties to churn out healthy profits for its investors, and now plans to invest Rs 75,000 crore in Nagothane, Dahej and Palghar in Maharashtra, to help meet India’s growing energy needs.
Reliance is building a massive carbon fiber plant in Hazira, which will manufacture carbon fiber parts for commercial airplanes, defense equipment, and other purposes, Anant Ambani revealed at the company’s 48th Annual General Meeting (AGM). Additionally, Reliance’s Jamnagar refinery will soon be fully machine-run operation.
Why Reliance faces a major issue with Russian oil purchase?
Notably, Reliance faces a major conundrum whether to halt crude oil purchases from Russia, amid heavy tariffs imposed by US President Donald Trump on Indian goods as “punishment” for buying Russian oil. The Trump administration has accused India of “profiteering” and “funding” Russia’s war on Ukraine by purchasing crude oil from Moscow.
Without naming Reliance or Mukesh Ambani, senior Trump admin officials have criticised Reliance and India for buying Russian oil, with White House advisor Peter Navarro accusing New Delhi of funding Russia’s “war machine” and calling the Russia-Ukraine war “Modi’s war”.
While Navarro did not explicitly mention Mukesh Ambani or Reliance, he claimed that a “few wealthy families” in India are profiteering from the India-Russia oil trade.
Reliance, the largest buyer of crude oil from Russia, would have to break a major long-standing agreement it buckles under US pressure and stops buying Russian oil. The company will also lose a major chunk of its profits as its refining business among the very best in the world
On the other hand, Reliance risks US sanctions and more taxes if it continues buying crude from Russia. Nayara Energy, Reliance’s partner in the Russian oil trade, is already blacklisted by the European Union (EU), and is facing financial difficulties.
HIGHLIGHTS
- Anant Ambani said Reliance faced challenges in the purchase of crude oil from Russia.
- Speaking at the Reliance AGM 2025, Anant said Reliance ensure good profits despite a challenging year for the energy sector.
- Trump admin officials have criticised Reliance and India for buying Russian oil.
- Trump aide Peter Navarro claimed that a “few wealthy families” in India are profiteering from the India-Russia oil trade.
Notably, India has reduced its purchase of crude oil from Russia following the heavy tariffs imposed by the Trump administration, but the oil trade from Moscow has not been completely stopped.