Trump Announces Texas Refinery, Cites Reliance in Historic Energy Deal
US President Donald Trump has announced plans for a major oil refinery project in Texas, claiming that India’s Reliance Industries will participate in what he described as a “historic $300 billion deal.” In a social media statement, Trump thanked India and the company for the proposed investment, saying the project aligns with his administration’s “America First” agenda and represents a significant boost for the US energy sector. The refinery is planned near the Port of Brownsville , a key location along the US Gulf Coast that already serves as a major hub for oil and fuel exports.
According to Trump, the refinery will strengthen American energy production , enhance national security , and create thousands of jobs in South Texas. The facility is expected to process roughly 168,000 barrels of crude oil per day , primarily refining American shale oil that has dramatically increased US oil output in recent years. If completed, the plant could become the first newly built oil refinery in the United States in nearly 50 years , highlighting the scale and significance of the proposed project.
The refinery is being developed by America First Refining (AFR) , which recently revealed it had secured a nine-figure investment from a global energy major at a 10-figure valuation earlier this year. AFR also stated that it has signed a binding 20-year offtake agreement with the same investor to purchase, process, and distribute energy derived exclusively from American-produced shale oil . However, the company’s official statement did not mention Reliance Industries directly or disclose the precise amount of the investment.
Industry analysts note that while Trump referred to the initiative as a $300 billion deal , the actual construction cost of the refinery is likely to be far lower , potentially around a few billion dollars. The larger figure is believed to represent the long-term economic value of fuel production, exports, and trade generated by the refinery over several decades , rather than the upfront capital investment required to build the facility.
The project also underscores the growing energy partnership between India and the United States . Reliance Industries, led by Mukesh Ambani , operates the world’s largest refining complex in Jamnagar, India , giving the company extensive expertise in large-scale refining operations and global fuel trading. Its potential participation could bring technical capabilities, international supply networks, and financial strength to the Texas refinery project.
Despite Trump’s announcement, Reliance Industries has not yet issued any official confirmation regarding its involvement , leaving some uncertainty about the exact structure of the investment. AFR has indicated that construction is expected to begin in the second quarter of 2026 , with the refinery designed to supply fuel to domestic and export markets, particularly across the US Gulf Coast and Latin America .
If the project moves forward as planned, the refinery could play an important role in expanding US refining capacity , supporting shale oil processing , and strengthening global fuel supply chains , while also marking a significant milestone in India-US economic cooperation in the energy sector .