BP to Pay $7.2 Billion for India Energy Fields Stake
February 21, 2011
The British oil company BP said that it would pay $7.2 billion-growing oil and gas industry, reports the Associated Press. BP will take a 30 percent stake in 23 oil and gas fields operated by Reliance Industries, India’s largest private company. Reliance will receive an additional $1.8 billion if the companies find more oil and gas than expected. The companies also said they would create a 50-50 joint venture to buy, transport and market natural gas, spurred in India by economic growth. Last month, BP signed an agreement with Russia’s Rosneft to drill in the Arctic. That deal, worth $7.8 billion, was the first big investment by BP after its oil spill in the Gulf of Mexico last year, which resulted in an estimated $40 billion in damage claims. The current wave of unrest from North Africa to the Persian Gulf makes countries like Russia and India look even more attractive to multinational oil companies.