Energy assets in focus as India bolsters security amid border tensions

Key oil, natural gas infra located along west coast in Gujarat and Maharashtra

India has over the years fortified critical energy assets in its western states, industry officials said. The initiatives have included building military bases; providing air cover at Jamnagar, home to one of the world’s biggest refinery complexes, and offering central reserve police forces to guard refineries and chemical plants.

 

India has a string of key oil and natural gas assets along the west coast in Gujarat and Maharashtra, which supply over half of the country’s crude oil needs, account for 47 per cent of total crude processed, facilitate 55 per cent of crude oil imports, and provide for total oil product exports. India imports around 88 per cent of its crude oil needs.

 

Indian Oil, the country’s biggest refiner, said that there were ample fuel stocks across the country and supply lines were operating smoothly. “There is no need for panic buying — fuel and LPG is readily available at all our outlets.” Bharat Petroleum also said in a statement that all fuel stations and LPG distributorships in its nationwide network were operating smoothly and were fully equipped to meet the energy needs of consumers.

 

India imported more than half of its 5 million barrels per day in crude oil supplies in May through ports in Gujarat, according to shipping data as of today from Paris-based market intelligence agency Kpler. Sikka and Vadinar terminals, which account for nearly half of India’s crude oil imports, are located at least 400 km from Karachi port in Pakistan, industry officials said. Reliance and Nayara Energy use Sikka and Vadinar, respectively, for crude oil imports. Indian Oil and Bharat Petroleum have offshore mooring facilities in the same area for crude oil imports. 

 

There are five key refineries led by Reliance Industries and Rosneft-owned Nayara Energy that supply India’s high-demand northern and western markets with fuels: Together, they processed 126.5 million tonnes of crude in FY25, equivalent to 47 per cent of the crude processed during the period, according to oil ministry data. Reliance processed 65.2 million tonnes of crude last in FY25, followed by Nayara at 20.5 million tonnes.

 

Hindustan Petroleum’s Barmer refinery-cum-chemical complex, which has an installed capacity of 9 million tonnes of crude a year, is also close to the western land border with Pakistan, but it will be commissioned in phases from this year.

 

To put things in context, India consumed 239 million tonnes of fuels in FY25 and exported 64.7 million tonnes of products. Reliance also accounts for a large majority of the country’s $44 billion in oil product exports from the Jamnagar facility.

 

India needs refineries to supply the army with diesel for its trucks and jet fuel to the Indian Air Force. Industry officials said that the refineries carry adequate inventories, and have also ensured adequate stocks of diesel and jet fuel at military bases.

 

“Indian refineries are geared up to produce fuels for defence purposes, and production orientation will be towards diesel and jet fuel,’’ said R Ramachandran, a Mumbai-based oil industry consultant and former director, refineries, BPCL. They will maximise output of diesel and jet fuel. Inventories will be maximised so access to the army is available.

 

Gujarat is also the biggest supplier of natural gas to Indian consumers via LNG imports. Of the 48 million tonnes a year of total LNG import capacity, around 28 million tonnes or nearly 60 per cent is in Gujarat, according to oil ministry data. These plants are also responsible for most of India’s LNG imports.

 

A vast expanse of water separates the Jamnagar and Vadinar facilities from the nearest Pakistani port of Karachi. 

 

But New Delhi has naval infrastructure and warships on the waters off the western coasts of Gujarat and Maharashtra to protect the shipping lanes, industry officials said.