State-owned Indian Oil Corp. Ltd. has inked long-term oil provide contracts with Brazil’s Petroleo Brasileiro SA (Petrobras) and Colombia’s state-run Ecopetrol SA, raising the nation’s power safety.
The contract with Petrobras for 1.7 million metric tonne each year (mmtpa) was inked throughout India’s petroleum and pure fuel secretary Pankaj Jain go to Brazil final week the place he additionally met Petrobras CEO Caio Paes de Andrade. The long run contract with Ecopetrol was inked in Singapore.
Mint had reported about India’s, the world’s 3 largest oil importer, plans to signal these long-term contracts as a part of efforts to diversify its power basket by importing crude oil from non-Opec (Organisation Petroleum Exporting Countries) sources.
In a tweet, India’s petroleum and pure fuel ministry mentioned Jain had productive discussions with CEO Petrobras, Caio Paes de Andrade, on mutually useful preparations for crude oil export to India from Brazil and export of petroleum merchandise to Brazil.
“He additionally mentioned collaboration within the refining, bio-fuels & EP sectors,” the tweet said and added, “Witnessed signing term contract of 1.7 MMTPA between IndianOilcl & Petrobras.“
This is the 1st ever term contract between an Indian company and Petrobras and comes in the backdrop of state-run Bharat Petroleum Corporation Ltd (BPCL) subsidiary Bharat PetroResources Limited’s (BPRL) plans to invest $1.6 billion to develop BM-SEAL-11 project in Brazil.
India’s Cabinet Committee on Economic Affairs (CCEA) in July had approved this additional investment in the project which is expected to see production from 2026-27, wherein BPRL has 40% participating interest and Petrobras with 60% participating interest is the operator.
“IndianOil is committed to strengthening India’s energy security! Keeping with that goal, we signed a Term Contract with the Colombian national oil company Ecopetrol in Singapore on 27th September as a part of our continued efforts to diversify our crude oil sourcing,” Indian Oil corp. mentioned in a tweet.