Indian oil companies can buy stake in Russian company, government has ordered

India has asked state-owned energy companies to evaluate the possibility of buying European oil major BP's stake in sanctions-hit Russian firm Rosneft. BP has announced that it is selling its 19.75% stake in Rosneft. Sources said the oil ministry last week decided to terminate ONGC Videsh Ltd (OVL), Indian Oil Corp, Bharat Petro Resources Ltd (BPRL), Hindustan Petroleum subsidiary Prize Petroleum Ltd, Oil India Ltd, and GAIL (India) Ltd with its intention. has been informed.

Western countries impose sanctions on Russia over the war in Ukraine

Indian companies and the oil ministry did not respond to emails from Reuters. Western countries have imposed sanctions against Russia over the war in Ukraine, while India has not explicitly condemned Moscow's action. The world's third-largest oil importer and consumer, India imports about 85% of its 5 million barrels per day (BPD) oil needs.

Also asked OVL to buy a 30% stake in Axon Mobile Corp

In March, BP CEO Bernard Looney met Indian Oil Minister Hardeep Singh Puri. It was only after this that the discussion of buying a stake in Rosneft started. The oil ministry also asked Oil and Natural Gas Corp's foreign investment arm OVL to consider buying Exxon Mobile Corp's 30% stake in the Sakhalin 1 project in Russia's the Far East. Exxon is the driver of the project. OVL already holds a 20% stake in the project. Exxon said on March 1 that it would sell about $4 billion in assets and close all of its Russian operations, including Sakhalin 1. OVL also holds a 26% stake in Vankorneft, owner of Vankor Field in the West Siberian Basin.

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