Reliance Industries (RIL) is planning to expand its fuel retail business with British energy major BP. The joint venture will be called Jio-BP that will have a network of 5,500 petrol pumps. These pumps will be increased from the 1,400 at present, Reliance Industries said on Monday.
RIL Chairman Mukesh Ambani said, "We believe that together we will bring solutions that will benefit the fast-growing Indian market."
Subject to regulatory and other customary approvals, the joint venture is expected to be formed during the first half of 2020. RIL will hold 51 per cent and BP would have 49 per cent stake in the joint venture. The entity will take ownership of RIL's existing Indian fuel retail network as well as access its aviation fuel business.
The statement said that RIL and BP signed a definitive agreement on Monday after an initial agreement was signed in August. RIL said that the retail network, Jio-BP, will signal a new paradigm shift in fuel marketing and mobility solutions. "It brings together Reliance's extensive access and connection to customers through its Jio digital platform and BP's deep experience in fuel retailing around the world. The joint venture will seek to offer Indian consumers high-quality differentiated fuels, convenience and services," said RIL.
Separately, Reliance Industrial Investments and Holdings Limited (RIIHL), an arm of the Mukesh Ambani-led firm, received Rs 25,215-crore investment from Canada's Brookfield Infrastructure and institutional partners in its tower infrastructure trust.