Global energy major BP and India’s Reliance Industries Limited announced that they have agreed to deepen and expand their partnership to work jointly across a wide range of areas throughout India’s energy sector.
Under the agreement the two companies will jointly explore options to develop differentiated fuels, mobility and advanced low carbon energy businesses in India, as India transitions to a low-carbon economy.
The companies expect to collaborate, in addition to the conventional transportation and aviation fuels retailing, on unconventional mobility solutions, addressing electrification, digitization and disruptive mobility trends.
Together, these collaborations will seek to address the mobility needs of urban, rural/farm, industrial/commercial, and highway consumers in India, applying the leading capabilities of both partners.
“This strategic partnership not only strengthens the relationship between two global energy leaders, but is also in line with and supports the forward-looking policies and vision of the Government of India,” said Mukesh Ambani, chairman and managing director of RIL.
Bob Dudley, BP Group chief executive, added: “India’s demand for both energy and mobility is growing and evolving rapidly. This presents many opportunities for BP and Reliance to build on our existing strong relationship in upstream and expand our partnership further downstream. Combining skills and experience from both our companies, we expect to cooperate on mobility and advanced low carbon solutions and jointly explore other opportunities throughout India’s energy sector.
India is a rapidly growing market with a population of 1.3 billion people, consuming around four million barrels a day of oil products and with demand for fuels expected to grow by 57% per year over the next decade.
The two companies also announced that they are proceeding with the development of already discovered deepwater gas fields, bringing new gas production for India.