NEW DELHI: Oil giant Saudi Aramco is buying 20% of Indian conglomerate Reliance Industries’ oil and chemicals business for about $15 billion. For India, the deal amounts to one of the country’s largest foreign direct investments.
Reliance Chairman Mukesh Ambani on Monday told an annual meeting of shareholders that Aramco will also supply Reliance’s Jamnagar refineries with 700,000 barrels of oil a day on a long-term basis. The refining complex has a capacity to process 1.4 million barrels per day.
“This is the biggest foreign investment in the history of Reliance,” he said. “It is also amongst the largest foreign investments ever in India.”
The deal will help diversify the business operations of Aramco, which has been traditionally focused on pumping oil out of the Middle East.