The petroleum retailing partnership between Reliance Industries and BP will see the British multinational bring in Rs 7,000 crore. "BP is acquiring 49 percent stake in our petro retail business. RIL will receive Rs 7,000 crore from BP for this transaction," Chairman Mukesh Ambani said while addressing the company's AGM in Mumbai on August 12.
RIL had announced the deal on August 6. The new joint venture that will include a retail service station network and aviation fuels business across India.
This joint venture will also include RIL’s aviation fuels business, which currently operates at over 30 airports across India, providing participation in this rapidly-growing market.
Also read: RIL, BP to invest Rs 35,000 crore in KG basin: Mukesh Ambani
The two companies had first formed a partnership in 2011, when BP took a 30 percent stake in multiple oil and gas blocks in India operated by RIL, including the producing KG D6 block.
India Gas Solutions Pvt, a 50:50 joint venture to source and market gas in India, is also part of BP’s gas value chain alliance with RIL.
Under the new partnership, the partners will up a new joint venture company, which will assume ownership of RIL’s existing Indian fuel retail network and access its aviation fuel business.
Disclaimer: Reliance Industries Ltd is the sole beneficiary of Independent Media Trust which controls Network18 Media & Investments Ltd
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