Building partnership to expand existing network of fuel, British Petroleum(BP) and Reliance Industries Limited (RIL) have initiated a joint venture for maximum availability of fuel in the country.
Coming into an agreement with British energy conglomerate BP pls, the new joint venture will support the aviation fuel supply and retail service station network in 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,” RIL and BP said in a joint statement.
Mukesh Ambani, Chairman and Managing Director of Reliance Industries Limited, and Bob Dudley, Group Chief Executive of British Petroleum, signed heads of agreement for the venture in Mumbai on August 6.
Meeting the country’s rapidly growing energy and mobility demand
Working to achieve India’s long term objective of being the fastest-growing fuels market in the world over the next 20 years, the joint venture will expand its current fuel retailing network of 1,400 sites to 5,500 sites over the next five years.
The collaboration is expected to bring overseas experience from BP, along with high-quality, modern service for India’s consumers, along with differentiated sites, fuels, and better offers.
“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,” RIL said in a regulatory filing.
Commenting on the development, Mukesh Ambani said: “We are delighted to expand our partnership with BP, one of the global leaders in the fuel-retailing sector. This partnership is a testimony to the strong ties between BP and Reliance Industries. Our robust partnership in developing gas resources in India has now expanded to fuel retailing and aviation fuels. This transformative partnership will deepen our engagement with the consumers in further enhancing the world-class services across the country.”
BP has already been directing its investment in the energy sector of India, and further aims to leverage the immense opportunities the sector exhibits. The chief executive of British Petroleum seemed optimistic about the agreement with RIL and stated “BP is already a large investor here and we see further attractive, strategic opportunities to support this growth. We are working closely with Reliance to develop India’s gas resources, helping meet the country’s demand for that key fuel.”
With the coming together of RIL and BP, it is expected to serve as an impetus for modernization and mobility convenience across the country, as well as fuel India’s object of becoming a global fuel market.