Don’t miss the latest developments in business and finance.

Reliance Industries and BP to form JV for fuel retailing and aviation fuels in India

Image
Capital Market
Last Updated : Aug 06 2019 | 7:50 PM IST
BP and Reliance Industries announced that they have agreed to form a new joint venture that will include a retail service station network and aviation fuels business across India. Building on Reliance's existing Indian fuel retailing network and an aviation fuel business, the partners expect the venture to expand rapidly to help meet the country's fast-growing demand for energy and mobility.

The partners have agreed to set up a new joint venture company, held 51% by RIL and 49% by BP, that will assume ownership of RIL's existing Indian fuel retail network and access its aviation fuel business. It is anticipated that final agreements will be reached during 2019 and, subject to regulatory and other customary approvals, the transaction will be complete in the first half of 2020.

The new venture will seek to offer Indian consumers high-quality differentiated fuels and services at its network of sites, benefitting from RIL's extensive retail business experience and market-leading access and digital connection to consumers through its Jio digital platform.

BP will bring its international experience in convenience and fuel retailing and aviation operations. Castrol lubricants will also be available across the venture's network.

The venture will seek to expand its reach, broadening access through mobile fuelling units and providing packaged fuels to customers, including home-delivery.

The venture is also expected to benefit from access to competitive fuels supplies from RIL's Jamnagar refining complex in Gujarat.

Powered by Capital Market - Live News

Also Read

First Published: Aug 06 2019 | 7:18 PM IST

Next Story