Bharat Petroleum Corporation Limited (BPCL) on Saturday signed a Memorandum of Understanding (MoU) with Petrobras, the national oil company of Brazil.
The MoU was signed by Arun Kumar Singh, Chairman and Managing Director, BPCL, and Caio Paes de Andrade, CEO Petrobras, in presence of Pankaj Jain, Secretary, Ministry of Petroleum and Natural Gas (MoPNG), Indian Ambassador to Brazil and other officials from MoPNG, in Brazil.
The signing of the MOU will strengthen future crude oil trade relations between the two companies and explore potential crude import opportunities by BPCL, on a long term basis, especially considering the current geopolitical situations, a statement from BPCL said.
Arun Kumar Singh, CMD BPCL, said, “We are delighted to announce that we as a company are moving a step further and trying to better the energy security in our country. This association with Petrobas will hopefully help us achieve the required goal. The latest approval by honourable PM Modi’s cabinet to invest in Brazil will help diversify India’s crude oil supply and is an attempt to procure equity oil overseas. Strengthening India’s foothold in Brazil will further open business avenues in neighboring Latin American countries.”
Bharat Petro Resources Limited (BPRL) plans to invest $1.6 billion to develop an oil block in Brazil in an attempt to procure equity oil overseas.
Through its fully owned subsidiary, Bharat Petro Resources Limited, BPCL, has a stake in the upstream sector in an ultra-deep water hydrocarbon block in Brazil, owned and operated by Petrobras, the statement said.
The field development plan and final investment decision is expected to be declared soon.
Petrobas is a publicly-held corporation that operates in an integrated and specialized manner in the oil, natural gas and energy industry.