Saudi Aramco is reportedly planning to acquire around a 20 per cent stake in state-owned Bharat Petroleum Corporation Ltd’s proposed greenfield refinery near Ramayapatnam port in Andhra Pradesh. The project, estimated to cost over Rs 960 billion, is expected to have a refining capacity of 9–12 million tonnes per annum and may also attract investment from another Indian public sector company. According to a media report citing a senior BPCL official, the company is considering selling 30–40 per cent equity in the refinery and petrochemicals complex. Saudi Aramco is likely to pick up a minority holding of about 20 per cent, while Oil India Ltd may acquire close to a 10 per cent stake. BPCL is also exploring the option of offloading a further 4–5 per cent equity to interested banks. The refinery-cum-petrochemicals complex is planned near Ramayapatnam port in Nellore district and is aimed at meeting rising domestic fuel demand while boosting petrochemical exports. The Andhra Pradesh government has allocated around 6,000 acres of land for the project. BPCL has said final investment decisions will be taken after the detailed feasibility report is completed, as this will determine the project’s final cost. The feasibility study is expected to be completed by the end of February. The final project outlay could vary by as much as 30 per cent from initial estimates, reflecting the complexity and scale of large refinery projects. The proposed facility is also expected to have a higher petrochemical component to align with growing demand. BPCL has held discussions with several overseas investors, including Saudi entities, for participation in the project. In 2019, Saudi Arabia had signed a memorandum of understanding with India to invest USD 100 billion across sectors such as energy, agriculture, infrastructure and manufacturing, although those investments are yet to materialise. In October, BPCL also signed a memorandum of understanding with Oil India Ltd to explore a strategic partnership for the Andhra Pradesh refinery, including the possibility of OIL acquiring a minority equity stake. At the time, BPCL said the partnership would help create a project of strategic scale and support India’s self-reliance in fuels and petrochemicals. BPCL is India’s second-largest oil marketing company, with domestic sales of 52.4 million tonnes in the previous financial year and a market share of 27.44 per cent. The company also operates the country’s third-largest refining capacity, accounting for around 14 per cent of the national total, through its refineries at Mumbai, Kochi and Bina.