Located at Vadinar in Gujarat, Nayara operates India’s second-largest single-site refinery with a capacity of 20 million metric tonnes per annum. The refinery, which specialises in processing heavy crude, is majority-owned by Russia’s state-run energy giant Rosneft. Until US sanctions were imposed, the plant was almost entirely dependent on Russian crude as its primary feedstock.
Rosneft has been sanctioned by the Trump administration as part of efforts to pressure Russian President Vladimir Putin into pausing his military offensive against Ukraine. Analysts say that while Nayara would normally be considered an attractive acquisition, the US’s tough position on Russian oil could deter potential buyers unless there is a major diplomatic breakthrough on Ukraine.
