Reliance Industries Ltd.’s refined product shipments to Europe face mounting uncertainty as confusion over sanctions compliance forces diversions and raises questions about the conglomerate’s access to a key market.

Two tankers carrying middle distillates from Reliance’s Jamnagar facility have been diverted from Rotterdam to West Africa, according to Argus, citing tanker tracking data in a stark sign that Europe’s Russian crude sanctions are creating immediate headaches for India’s largest refiner.

The confusion stems from murky European Union rules governing multi-production-line refineries like Reliance’s massive Jamnagar complex, Nomura said in a note. While an EU FAQ document stipulates that single production-line refineries must wait 60 days after receiving Russian crude before loading products for export to the bloc, “there remains confusion around the treatment for a multiple-production-line refinery like Reliance,” the brokerage said.

Making matters worse, “the EU delegates sanctions enforcement to member states,” resulting in “implementation varies across different member countries,” Nomura added.

Reliance maintains it last received Russian crude cargo in the export-facing Special Economic Zone section of its Jamnagar refinery on Nov. 19. The domestic section received its last Russian crude shipment on Dec. 20, according to the company, which “has not clarified whether more Russian crude cargoes are expected in the future,” Nomura noted.

The uncertainty comes as Indian refiners scramble for alternative crude supplies. “Indian refiners such as Reliance, HPCL, MRPL and IOCL have already publicly stated their intention to procure crude from Venezuela,” Nomura said.

However, that pivot faces its own constraints. “Indian refiners are currently being offered small volumes of Venezuelan crude as most of the supply is heading to the United States,” the brokerage added.Also read: Is Budget day overrated? What 15 years of Nifty data reveals about post-Budget trades

RIL shares have lost 11% of their value so far in the calendar year 2026 as investors remain worried about the impact of Russian crude sanctions as well as slower growth in the retail business.

(Disclaimer: The recommendations, suggestions, views, and opinions given by the experts are their own. These do not represent the views of The Economic Times.)