Clifford Chance advises OQ on its entry into an agreement to sell its entire stake in Bharat Oman Refineries Ltd
5 April 2021
Clifford Chance advises OQ on its entry into an agreement to sell its entire stake in Bharat Oman Refineries Ltd
Clifford Chance has advised OQ (the national petroleum investment company of Oman) on its entry into an agreement to sell its entire 36.62% stake in Bharat Oman Refineries Ltd (BORL) to its partner Bharat Petroleum Corporation Ltd (BPCL).
BORL owns and operates the Bina Refinery, located in the central Indian state of Madhya Pradesh, which has a capacity of 7.8 million tonnes per annum.
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By Mary Page Bailey |
April 2, 2021
Bharat Petroleum Corporation Limited (BPCL; Mumbai, India) signed a Sales Purchase Agreement with integrated energy company OQ (Muscat, Oman) for the purchase of BPCL’s entire stake in Bharat Oman Refineries Company Ltd, (BORL), a 7.8 million ton/yr petroleum refinery located at Bina in Madhya Pradesh, India.
Bharat Oman Refineries Limited was incorporated in 1994 as a Public Limited Company with equal equity participation of Bharat Petroleum Corporation Limited and OQ (formerly known as OOC). Since March 2020, BPCL has been holding 63.4% and OQ 36.6% equity in the company. The Government of Madhya Pradesh has a minor stake in the Company through compulsorily convertible warrants.
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India’s Bharat Petroleum (BPCL) has reportedly acquired a 36.62% stake in Bina refinery situated at Bina in Madhya Pradesh, India from OQ (formerly known as Oman Oil Company), for INR24bn ($327.1m).
A sales purchase agreement has been signed by BPCL with OQ whereby the Indian firm will acquire OQ’s entire stake in Bharat Oman Refineries, which operates the 7.8 million tonnes per annum capacity oil refinery at Bina in Madhya Pradesh.
BPCL had a 63.4% holding in BORL while OQ owned a 36.6% interest.