India’s state-run Oil and Natural Fuel Corp (ONGC) will take control of Hindustan Petroleum Company Ltd (HPCL) as a part of the government’s plan to create an integrated public sector oil entity, a newspaper reported on Monday citing top government officials.
India plans to create a giant oil company by combining state-owned corporations, finance minister Arun Jaitley said in the price range speech on February 1, because the world’s third largest oil client looks to raised compete with international majors in acquiring international assets.
A cabinet observe will quickly be moved. The federal government will switch its fifty one.Eleven% shareholding in HPCL to ONGC the paper wrote citing one of the officials.
With this merger ONGC’s exploration enterprise can be integrated with HPCL’s refining and retailing capacities.
While ONGC is India’s largest oil and gasoline exploration firm, HPCL owns two refineries and has the biggest lubricants unit and second largest pipeline community of three,015 km.
The federal government has been discussing the proposal to create an energy giant that can cut back the hydrocarbon-related risks in Refinery Equipment oil And Gas Production its operations. It will likely be more poised to buy overseas assets at a time when crude prices are sluggish, the federal government has stated time and once more.