Oil and Natural Gas Corporation (ONGC) and Bharat Petroleum Corporation Limited (BPCL) are in discussions to secure foreign partners for their proposed greenfield petroleum refineries. Both companies are focusing on potential collaborations with Saudi Arabian entities.
Indian petroleum officials, including representatives from ONGC and BPCL, recently held meetings with Saudi Aramco executives in Dhahran, Saudi Arabia. Discussions involved Aramco CEO Amin Nasser and downstream president Mohammed Al Qahtani, with an emphasis on collaboration opportunities.
The refineries planned by ONGC and BPCL are expected to have a capacity of 12 million metric tonnes per annum (mmtpa) each. The estimated investment for these projects ranges from Rs 70,000 crore to Rs 1 lakh crore.
BPCL has identified Andhra Pradesh as a potential location for its refinery, while ONGC is considering sites in Gujarat or Prayagraj, Uttar Pradesh. For ONGC, this marks a new venture into refinery operations.
The Indian government is promoting the development of refineries at key locations, encouraging public sector firms to explore partnerships with international players to manage the high capital costs. A joint venture model, similar to the delayed Ratnagiri Refinery & Petrochemicals Limited (RRPCL) project, may be used for these new projects.
Saudi Aramco remains active in evaluating opportunities within India’s refining sector, as it explores further investments.