US capture of Maduro may aid Indian refineries’ margins
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New Delhi: The US capture of Venezuela’s President Nicholas Maduro and taking over its oil fields could lead to Indian refineries benefiting from imports of heavier Venezuelan barrels, which trade at a discount to Brent, boosting their gross refining margins, a report showed on Monday.
The report from Choice Institutional Equities said that India previously imported up to 400 thousand barrels per day (KBD) of Venezuelan crude and that access to equipment and investments could be granted upstream Indian players which could subsequently increase their output from the fields of San Cristobal and Carabobo-1.
The brokerage forecasted that Brent is expected to average about $61.5 per barrel in CY26, with limited additional barrels entering the market this year, though fresh Venezuelan supply could weigh on prices beginning next year.
The report further said heavier Venezuelan barrels could accelerate the rationing of simpler refineries globally as more complex plants in India and China come online, potentially improving cracks over the medium term as supply balances.
