Reportedly the US and dubai led by DIPAM and oil ministry officials said tthe privatisation process of state run bpcl will start this week with roadshows for its strategic stake sale scheduled from friday in london, and the officials will meet the prospective investors and will try to sell bpcl as an entity, which will give them an entry into the lucrative oil refinery as well as retail fuel market in india which are touted to be highly remunerative.
Furthermore the investors' feedback and concerns will be used to prepare the expression of interest for bpcl sale, said sources. Even though it still not has been made public, government sources say the world's largest oil company, Aramco, may make up its mind to participate in the disinvestment of bpcl where government intends to sell its entire 53.29% stake to a strategic investor now that its listing is over. Saudi Aramco tops with $2 trillion in valuation after the listing.
Finance minister nirmala sitharaman has indicated that bpcl disinvestment may be completed in the current financial year. Moreover any company eyeing bpcl will have to pump in close to Rs 1 lakh crore (about Rs 60,000 crore for the government's stake and the balance for open offer), said market sources. bpcl operates four refineries at mumbai, kochi, Bina in madhya pradesh and Numaligarh in assam with a combined capacity to convert 38.3 million tonnes of crude oil into fuel.