Saudi Aramco in talks to invest in two Indian refineries: Report

Logo of Saudi Aramco 

Saudi Aramco is in talks to invest in two proposed refineries in India, Reuters reported, citing informed sources.

Aramco is in talks to invest in Bharat Petroleum Corp.'s (BPCL) planned refinery in the southern state of Andhra Pradesh and a proposed Oil and Natural Gas Corp.’s (ONGC) refinery in western Gujarat state, the sources said.

The sources said that the projects would proceed regardless of whether Aramco invests. "It all depends on the proposal that Aramco gives," a source said.

They also indicated that Aramco proposes to supply oil equivalent to three times its stake in each project, and wants to sell its share of production either in India or by export.

According to data available with Argaam, BPCL is an Indian state-owned company that currently operates two major refineries in Kochi and Mumbai and is the second-largest oil company in India.

Meanwhile, ONGC, which plans to build a refinery in Gujarat, is an Indian multinational oil and gas company owned by the Indian government. It is the largest oil and gas exploration and production company in the country, accounting for 75% of India's crude oil production.