Bharat Petroleum Limited, one of the leading petroleum and refinery in India, revealed on Thursday, that it is eyeing to buy stakes at Bina refinery Project on mutual agreement terms. The company at the meeting also disclosed its plans to merge with Bharat Gas Resources Limited (BGRL) in line with its strategic plan for growth in the upcoming years.
BGRL was incorporated by BPCL in June 2018 for driving its natural gas business. Following the agreement, it also secured licence to piped natural gas for household and retail CNG for automobile. BPCL already holds 63.68 per cent stakes in Bharat Oman Refineries Limited (BORL), and it plans to buy additional 39.62 percent shares from OQ S.A.O.C (Oman Oil Company S.A.O.C). With the underlined acquisition, total equity shares of BORL under BPCL will correspond to INR 88.8 crore.
The BPCL board is also looking forward to reaching out to the MP government for overall 2.69 crore warrants under BORL. BORL was taken over by BPCL in March this year post the conversion of its warrants into stakes. As per ChemAnalyst, “Investment of BPCL into BORL is anticipated to serve promising gains to the company as it will diversify its penetration in the regional market. The merger with BGRL is also perceived to cater rich revenues in the coming months as the company is planning to widen its reach by commencing an LNG import terminal in the east coast of India.”