The partnership hopes to collaborate in areas including digitization and disruptive mobility trends and unconventional mobility solutions
Reliance Industries Limited (RIL) and BP have decided to move forward together with the aim of developing already-discovered deepwater natural gas fields, bringing new fuel production for India.it has been agreed by the two companies to intensify and expand their partnership to work in cooperation across a wide range of areas throughout India’s energy sector.
In order to progress development of the ‘R-Series’ deep water natural gas fields off the east coast of India, RIL and BP has proposed to award contracts. Coming on stream in 2020, the project is expected to produce up to 12 million cubic metres (425 million cubic feet) of natural gas a day. Phased over 2020-2022, and with total investment of c. INR 40,000 crore (US$6 billion), development of the three projects is expected to bring a total c. 30-35 million cubic metres (1 billion cubic feet) of natural gas a day new domestic fuel production onstream.
Benefiting India and domestic consumers at large, production from the integrated development is expected to help reduce India’s import dependence and amount to over 10% of the country’s projected demand in 2022.
Strategic cooperation on new opportunities across India’s energy sector will be expanded by the existing partnership of RIL and BP. 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 world, as per the agreement.
In addition to the conventional transportation and aviation fuels retailing, unconventional mobility solutions, addressing electrification, digitization and disruptive mobility trends are the areas where the two companies hope to collaborate.
Mukesh Ambani, Chairman and Managing Director of RIL, said: “We are delighted to progress these developments, which will provide India with much needed indigenous energy. The solid relationship between our two companies is a great example of what can be achieved while working together at scale. 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.”
Bob Dudley, BP Group Chief Executive, said: “This is an important step forward for BP in India. It is testament to our commitment to working in partnership with Reliance and with the Government to produce more energy in India, for India. 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.”
BP and RIL are committed to being one of India’s preferred energy partners now and in the future with India being a rapidly growing market having a population of 1.3 billion people, consuming around 4 million barrels a day of fuel products and with demand for fuels expected to grow by 5-7% per year over the next decade. PWKD16062017
Editors Note: RIL wil be participating in the 1st Asia Fuel Retail Conference in Kuala Lumpur this week - www.fuelsexpo.com