BPCL to consider buying Oman Oil stake in Bina refinery

Privatisation-bound Bharat Petroleum Corporation Ltd (BPCL) has said its board will on Thursday consider buying out Oman Oil Company in the Bina refinery project in Madhya Pradesh. BPCL board will also consider merging Bharat Gas Resources Ltd(BGRL) with itself, the company said in a filing to the stock exchanges on Tuesday.

BPCL holds 63.68 per cent stake in Bharat Oman Refineries Ltd (BORL), which built and operates a 7.8 million tonne oil refinery at Bina in Madhya Pradesh.

The company board will on December 17 “consider a proposal for according ‘in-principle’ approval” for “acquisition of 36.62 per cent of equity shares in BORL from OQ S.A.O.C. (formerly known as Oman Oil Company S.A.O.C.),” it said.

This would amount to the acquisition of 88.8 crore equity shares from OQ.

The board would also consider a proposal to approach the Madhya Pradesh government for acquiring 2.69 crore warrants held by it in BORL.

The meeting would also consider “merger of Bharat Gas Resources Ltd (a wholly-owned subsidiary of BPCL) with BPCL,” the filing said.