BP, Reliance plan $US5 bn Indian gas deal
Market watch top headlines
NEW DELHI, Feb 19 AFP
February 20 2013, 00:34AM
Britain's BP and India's Reliance Industries say they plan to invest more than $US5 billion ($A4.88 billion) to develop India's largest natural gasfield in the Bay of Bengal over the next few years.
"This plan, when implemented, would entail a potential total investment in excess of $US5 billion over the next three to five years," the two companies said in a statement on Tuesday, referring to the KG-D6 gasfield.
BP, already India's largest single British investor, and Reliance, controlled by Indian billionaire Mukesh Ambani, said they would invest in a series of projects to develop four trillion cubic feet of gas resources from the block.
The announcement came as British Prime Minister David Cameron was in New Delhi on the second-day of a trade-focused official visit, during which he declared that his country wants to be India's trade "partner of choice."
Gas from these projects "will deliver energy to millions of Indians and would significantly help India in reducing its import dependence", said Petroleum Minister Veerappa Moily.
"The decision to join forces with Reliance Industries to invest $US5 billion in the next few years into India's gas markets reinforces how two of Britain and India's leading companies can work together," Cameron added.