(Natural Energy News): A deal with Reliance will help the world's largest crude oil exporter join the ranks of top oil refiners and chemical manufacturers. State-owned Aramco is already a major supplier of crude oil to India, while Reliance sells petroleum products including petrol to the state.
Saudi Aramco still aims to invest $ 15 billion in India Even lower oil prices force it to slow investment expenditure.
Chairman Mukesh Ambani said Reliance shares had fallen in mid-July, as the transaction was delayed "due to unforeseen circumstances in the energy market and the Covid-19 situation."
Related Article: Oil and Natural Gas Corporation cut debt by 35 per cent to Rs 13,949 crore
A deal with Reliance will help the world's largest crude oil exporter join the ranks of top oil refiners and chemical manufacturers. State-owned Aramco is already a major supplier of crude oil to India, while Reliance sells petroleum products including petrol to the state.
"We are still in discussions with Reliance," Aramco chief executive Amin Nassar said on a call with reporters on Sunday. “The work is still going on. We will update our shareholders about the Reliance deal in due time. "
Aramco reported on Sunday that net income in the second quarter was down about 75 percent from a year earlier. Oil prices declined by about 33 percent in 2020. The coronavirus epidemic has halted travel and trade, reducing demand for crude and fuel.
Related Article: Department of Energy announced $ 33 million for natural gas pipeline retrofitting projects
Ambani, the world's fourth-richest person, said last year that Aramco was set to buy a 20 percent stake in its company's refining and petrochemical business, valued at $ 75 billion.
Reliance Transaction will help Aramco reach its target of exceeding doubling capacity from 8 million to 10 million barrels a day. The Saudi firm had a refining capacity of 3.6 million barrels per day at the end of last year, including stakes in a wholly-owned plant and joint venture. The total capacity of the facilities in which Aramco has 6.4 million barrels per day.
Related Article: BP vows to cut oil and gas production by 40 percent by 2030, but few questions remain
The company, officially known as the Saudi Arabian Oil Company, is working to start a 400,000 barrel-per-day Jazan refinery on the southern Red Sea coast of Saudi Arabia this year. It also owns the largest refinery in the US as well as plants in countries such as South Korea and Japan. It is planning several Chinese undertakings.
Reliance's cash needs have come down in recent months. The Indian group has its own digital unit, Jio Platforms Ltd. Google and Facebook Inc. Raised some $ 30 billion by attracting investment from the likes of and selling shares to existing stakeholders.
Related Article: India steps on gas as the use of coal for power generation
0 Comments