Here’s why Rubio is visiting a small Indian city home to world’s largest oil-refining complex

NEW DELHI (AP) — U.S. Secretary of State Marco Rubio is in India, and on Wednesday he is heading to an unlikely destination: a small coastal city in western India that has the world’s largest oil-refining complex.

The city of Jamnagar in India’s Gujarat state is home to a vast refining complex operated by billionaire Mukesh Ambani’s Reliance Industries. Rubio’s visit there comes as the United States is seeking new markets for Venezuelan crude and highlights the growing importance of energy investment in relations between Washington and New Delhi.

Here’s more on what Rubio’s Jamnagar visit means:

It’s mostly about the oil

Rubio’s visit to the Jamnagar facility comes as Washington is pushing the country to diversify its energy imports away from Russia, and seeking markets for expanded Venezuelan oil production.

Rubio said Tuesday that he would discuss increasing Venezuelan oil processing with Reliance, and that India could play a role in boosting global oil supplies as Venezuelan crude production increases, calling the country a “refining superpower.”

“They have the capability to refine heavy crude. They’ve done so in the past, and I think as more and more Venezuelan oil comes online, it’s something they can do,” he told reporters Tuesday in Mumbai.

Jamnagar refinery could help ease energy disruptions

Rubio said his Jamnagar visit would offer a chance to explore how large-scale refining capacity can help countries navigate energy-security concerns that have been heightened by the wars involving Iran and Yemen and the accompanying threats to shipping routes such as the Strait of Hormuz and the Red Sea.

“Energy is related to national security. You know, countries fight wars over energy, as an example. Economies collapse over lack of energy. So we’re going to go see a company that has a tremendous amount of refining capability, so it makes all the sense in the world to talk to them about it,” Rubio said.

The Jamnagar refinery has crude processing capacity of about 1.4 million barrels per day, according to the company. Its facilities convert crude oil into fuels such as gasoline and diesel, as well as petrochemical byproducts used to manufacture plastics, synthetic fibers and other industrial materials.

The refinery’s scale and technical sophistication are particularly valuable when geopolitical disruptions or sanctions alter the availability and price of oil.

Venezuelan oil alone would not offset potential supply disruptions elsewhere, Rubio said, but increased production could provide some relief in the short term.

The refinery is Ambani’s crown jewel

Rubio’s visit is also a mark of the influence of Reliance and company chief Mukesh Ambani, whom Rubio plans to meet in Jamnagar.

Reliance Industries is one of India’s largest private-sector conglomerates, and its business spans petrochemicals, oil and gas, telecommunications, retail and new energy.

The company is also playing a role in the U.S. administration’s push to increase domestic energy production: U.S. President Donald Trump announced in March a proposed $300 billion refinery project in Brownsville, Texas, backed by Reliance Industries.

The Jamnagar refinery is central to its energy business, strengthening Reliance Industries’ position in global oil markets. But the city has also gained fame for reasons beyond energy.

In March 2024, Ambani’s youngest son, Anant Ambani, and Radhika Merchant held lavish pre-wedding celebrations there, drawing global business leaders, celebrities and prominent political figures. The festivities showcased the family’s wealth and international connections, while bringing unprecedented attention to the city.

Since then, the Ambani family has also held other extravagant family and festive celebrations in Jamnagar. And in doing so, it has increasingly positioned the oil refinery as its crown jewel, elevating the industrial hub into a global showcase of Reliance Industries’ wealth and influence.