Nayara sues Microsoft for ‘suspending services’ after EU sanctions on Gujarat refinery
July 29, 2025
Ahmedabad: Nayara Energy, an Indian refinery backed by Russia’s Rosneft, has taken Microsoft Corp to court after the tech giant suspended essential services to the company’s Vadinar refinery in Gujarat, following European Union sanctions targeting Russian energy interests.
In a statement issued on Monday, Nayara said Microsoft is blocking its access to its own data, proprietary tools, and software products, despite these being secured through fully paid licences.
“This decision, based entirely on Microsoft’s unilateral interpretation of recent EU sanctions, sets a worrying precedent of corporate overreach and could have serious consequences for India’s energy sector,” the company warned.
Nayara has now filed a petition in the Delhi High Court, seeking an interim injunction to restore services and protect its operations. The company said the move aims to prevent any disruption in its ability to supply fuel and meet commitments to Indian consumers and stakeholders.
While the sanctions were imposed solely by the EU, Nayara pointed out that Microsoft, a U.S.-headquartered company, chose to cut services even though there is no legal obligation under Indian or U.S. law to do so. The firm also criticised Microsoft for withdrawing services without prior notice or consultation, calling it an overextension of foreign laws into India.
Microsoft has not yet responded publicly to the lawsuit.
Nayara Energy operates one of India’s largest private oil refineries at Vadinar in Gujarat, with an annual capacity of around 20 million tonnes, and also runs an extensive nationwide fuel retail network. Rosneft currently holds a 49.13% stake in the company, matched by an investment consortium. DeshGujarat
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