Rosneft plans to tap Indian fuel retail market in big way, says Pradhan
Union Petroleum Minister Dharmendra Pradhan on Sunday said Russian oil giant Rosneft had plans to tap India’s retail fuel market in a big way.
“Rosneft, the Russian oil major, which recently took over Essar Oil, is planning in a big way to tap the retail fuel market in India,” he told reporters after inaugurating City Gas Distribution (CGD) Project to supply eco-friendly natural gas to households, industries and transport sector, here. Three days back, Reliance Industries Ltd (RIL) and its partner BP Plc had announced investment of $6 billion in developing new gas fields in the KG-D6 block after an eight-year hiatus.
The firms also agreed on a strategic cooperation on new opportunities for conventional and unconventional fuel trading and marketing, including jointly setting up petrol pumps.
Asked about the size of investment to be made by Rosneft and Essar to tap the fuel retailing market, Pradhan said both companies had invested $13 billion in Indian market in the past financial year.
“This was one of the biggest deals in the oil industry in the world,” he added.
In the beginning of the second quarter of this year, BP and RIL had announced more than $6 billion investment in India, Pradhan said. This showed the progressive and reformative nature of the Narendra Modi governnment, he added.
On the CGD project, he said it would be implemented by GAIL Gas Limited, a wholly owned subsidiary of GAIL (India) Limited at an investment of ~6,283 crore.
The project would cover 4,395 sq km in urban and rural Bengaluru, broadly covering eight sectors — Nelamangala, DodBallapur, Devanahalli, Hosakote, Bengaluru east, Bengaluru north, Bengaluru south and Anekal, he said.
The project will provide eco-friendly, uninterrupted, safe and convenient energy to 106.12 lakh residents of Bengaluru by supplying Piped Natural Gas for households, industries and commercial units, Pradhan said.
“ROSNEFT, THE RUSSIAN OIL MAJOR, WHICH RECENTLY TOOK OVER ESSAR OIL, IS PLANNING IN A BIG WAY TO TAP THE RETAIL FUEL MARKET IN INDIA” DHARMENDRA PRADHAN Union Petroleum Minister