Global Union to finance oil companies' overseas buys

Bahrain-based Global Union Energy Ventures (GUEV), the investment vehicle floated to recycle petrodollars into oil and energy projects through equity and debt, is looking at financing overseas acquisitions by Indian oil companies and partnering with private energy and infrastructure projects in the country.

"Except in a couple of cases, investment for India has been completed. We want to focus on funding overseas acquisitions by Indian oil companies," Jeffrey M Waterous, chairman, Global Union Energy Venturers, said.

GUEV is regulated by Bahrain Central Bank for conducting private placement of equity and debt.

Waterous said 20 per cent of petrodollar profits in oil-rich countries, including Bahrain, had been earmarked for India. The company is keen to tap India since it requires $300-400 billion in the next five years, he said.

"We want to partner with independent power producers (IPPs)," he said, stating that the immediate plans also included bunkering facilities for oil companies, and port development.

MA Pathan, former chairman of Indian Oil Corporation (IOC), and currently regional director, South and Southeast Asia, GUEV, said, the company was hopeful of concluding its first investment deal in the energy sector in the country in the next 9-12 months.

"We are also looking at partnering for shipping and infrastructure projects, especially the Mundra Port in the immediate future, as it requires a lot of facilities for oil transportation, including crude oil import," Pathan said. In the energy sector, the company is also looking forward to fund transmission line network projects, he added.

Besides planning the placement of equity and debt in Indian projects on its own, the company also plans to build partnerships within India, according to Waterous.