Govt Source: ADNOC To Sign Deal On Monday For Stake In Indian Refinery
NEW DELHI, June 22 (Reuters) - Abu Dhabi National Oil Co (ADNOC) will sign an agreement with Saudi Aramco and Indian companies on Monday for an up to 25 percent stake in a planned $44 billion refinery and petrochemical project in India, a government source said.
Major oil producers are targeting Asia, where fuel demand is growing, as a stable outlet for their oil.
India, the world's third biggest oil importer and consumer, aims to expand its refining capacity by 77 percent to 8.8 million barrel per day (bpd) by 2030.
"The deal will be signed on Monday," said a government source.
Abu Dhabi National Oil Company (ADNOC) plans to invest $45 billion over the next five years to expand its refining and petrochemicals operations.
Saudi Aramco in April signed a deal with Indian state refiners for a 50 percent stake in the planned 1.2 million barrels per day project to be built on the country's west coast.
Indian Oil Corp, the country's top refiner, owns 25 percent stake in the project, while Hindustan Petroleum Corp. and Bharat Petroleum Corp have 12.5 percent stake each.
Aramco had said in April it may introduce a strategic partner to share its 50 percent stake.
This would be ADNOC's second investment in Indian oil and gas sector after a deal to lease part of Indian oil storage in southern India.
(Reporting by Nidhi Verma, editing by David Evans)
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- Abu Dhabi Signals Global Ambition, Seeks Refineries (Nov 13)
- ADNOC to Boost Oil Production to 4 MMbpd by 2020 (Nov 05)
- ADNOC Seeks to Make Downstream City More Livable (Sep 10)