‘We’ve seen India diversify its oil’: Sergio Gor says US in talks to supply Venezuelan crude to India

India has given assurances regarding its purchases of Russian crude, US Ambassador Sergio Gor said on February 20, indicating that Washington and New Delhi have reached an understanding as they move toward formalising an interim trade agreement.  

Gor said the United States has already seen India diversify its oil sourcing and described this as part of a broader commitment between the two sides.  

“The Department of Energy is speaking to the Ministry ‌of Energy here, and so we’re hoping to have some news ‌of ⁠that very soon,” Gor said on the sidelines of the India AI Impact Summit 2026 in New Delhi where India joined the US-led Pax Silica initiative aimed at building a silicon supply chain for high-tech products.

“On the oil, there’s an agreement. We have seen India diversify its oil. There is a commitment… This is not about India. The United States doesn’t want anyone buying Russian oil,” Gor said.  

Washington’s position reflects its wider geopolitical objective of curbing global purchases of Russian energy rather than singling out India specifically.  

Sale of Venezuelan oil

The envoy also confirmed that the two countries are in “active negotiation” over potential sales of Venezuelan oil to India as part of efforts to broaden New Delhi’s supply base.

Indian officials have reiterated that crude procurement decisions remain driven by commercial viability, availability and national energy-security considerations, while remaining open to sourcing from alternative suppliers if the economics are favourable.  

Global trading houses such as Vitol Group and Trafigura Group have been exploring shipments of Venezuelan crude to major Asian buyers, including Indian refiners, amid shifting US policy toward Caracas.

State-run companies including Indian Oil Corporation, Bharat Petroleum Corporation Limited, and Hindustan Petroleum Corporation Limited have reportedly purchased initial cargoes totalling about 4 million barrels.  

Trade deal expected soon  

Gor said a final bilateral trade agreement could be signed “sooner than later,” with only “a few tweaking points” left to resolve. He added that Donald Trump has been invited to India by Prime Minister Narendra Modi.  

The interim trade deal is expected to become effective in April, with tariff adjustments under discussion as both sides work toward a broader economic framework.  

The oil discussions come alongside expanding technology and supply-chain collaboration, with India joining the US-led Pax Silica initiative aimed at building resilient supply chains for critical minerals and advanced technologies.