'Supply chain disruptions, trade shifts posed challenges': Mukesh Ambani at RIL AGM

Speaking at Reliance Industries’ 48th Annual General Meeting (AGM), Chairman and Managing Director Mukesh Ambani said the company’s Oil-to-Chemicals (O2C) segment is not just a legacy business but the foundation of its transformation into an integrated energy major, geared for the next decade of global energy evolution. Ambani noted that the past year was marked by extraordinary challenges in global energy markets. “Supply chain disruptions, trade shifts, and petrochemical overcapacity posed major challenges,” he said.

Despite headwinds, Reliance delivered industry-leading performance, which Ambani attributed to five key strengths: operational excellence, feedstock flexibility, supply chain agility, deep market reach, and technology-driven innovation.

“Our operational excellence is evident in 100 per cent capacity utilisation, far higher than the global average of 80 per cent. This directly translates into superior capital returns and validates the strength of our model,” Ambani told shareholders.

He further said In FY25, Reliance refineries processed a record 72.2 million tonnes of crude, while the Petcoke Gasification Complex delivered its highest-ever output. With a diversified basket of over 250 crude grades, Reliance achieved unmatched flexibility, adapting swiftly to market volatility and optimising margins. These strengths drove 11% revenue growth to Rs 6,26,921 crore ($73.4 billion) and EBITDA of Rs 54,988 crore ($6.4 billion). Aligned with its Net Carbon Zero 2035 goal, Reliance operates the world’s most energy-efficient SEZ refinery, saving 10 million gigajoules in three years. Circular economy initiatives—waste plastic pyrolysis, biomass fuels, and hydrogen—underscore Reliance’s leadership in sustainable materials.

Anant Ambani’s New Energy focus

For the first time, Executive Director Anant Ambani addressed the AGM, sharing details of the O2C, Exploration & Production (E&P), and Jio-bp businesses. He underlined that the O2C business remains central to Reliance’s integrated energy strategy. The O2C segment processed a record 72.2 million tonnes of crude in FY25, supported by 100% utilisation and record output from the Petcoke Gasification Complex. Reliance’s crude basket now spans over 250 grades, helping it manage market volatility. This enabled 11% revenue growth to ₹6,26,921 crore ($73.4 billion) and an EBITDA of ₹54,988 crore ($6.4 billion).

Sustainability

Sustainability remains a cornerstone of Reliance’s long-term strategy. Ambani reiterated the company’s commitment to achieve Net Carbon Zero by 2035. The SEZ refinery, recognised as the world’s most energy-efficient, has saved 10 million gigajoules of energy in three years. Reliance is also advancing circular economy initiatives through waste plastic pyrolysis, biomass fuels, and hydrogen production.

Expansion plans

Reliance announced plans to invest Rs 75,000 crore ($8.8 billion) in new projects. These include a 1.2 million tonne PVC plant at Nagothane, expanded CPVC facilities, a 3 million tonne PTA facility at Dahej, and a 1 million tonne specialty polyester plant at Palghar.

The Hazira carbon fibre facility is expected to become one of the world’s largest, serving aerospace, defense, and advanced materials sectors. Meanwhile, the Jamnagar refinery is on track to become the world’s first autonomous refinery.

Exploration & Production

Anant Ambani said the Exploration & Production (E&P) business is vital for India’s clean energy transition, contributing nearly 30% of the nation’s natural gas output. In FY25, E&P posted record EBITDA of Rs 21,188 crore ($2.5 billion). Production from KG-D6 rose 4% to 28 MMSCMD of gas and 21,000 BOPD, with further drilling planned in 2026. Coal Bed Methane (CBM) output surged 30% to 0.8 MMSCMD, supported by India’s first 40-well multilateral drilling campaign, with another campaign already underway.