Saudi Aramco, the world's largest oil company, is seeking a majority stake in the proposed Rs 3 lakh crore oil refinery at Ratnagiri in Maharashtra, according to a report by The Economic Times.
The report adds that one of the oil company's conditions include that most of the oil is sourced from Saudi Arabia.
The Dhahran-based company has been in talks with Indian Oil Corporation, Bharat Petroleum, and Hindustan Petroleum for months, the report said.
"They have just drawn the starting line. Only after the negotiations have concluded, you would know what Aramco has finally got," a source told the paper.
The petrochemical project is a joint venture between the three Indian state-owned refiners. The Rs 3-lakh project has a refining capacity of 60 million metric tonnes per annum.
In response to a request for comment by The Economic Times, Aramco confirmed the discussions.
"Saudi Aramco views India as an important strategic market and is a reliable and leading supplier of crude oil to India. We are looking at various opportunities in India which includes refining. We are in discussions with Indian counterparties in these potential ventures and hope to progress our cooperation and partnership further.", the company told the paper.
The company did not provide details of the negotiation.
One source, speaking to The Economic Times, ruled out the possibility of giving Aramco a majority stake in the refinery.
"Giving Aramco the majority stake is just out of the question. If we can’t have the majority stake in our own project, on our own land, then where," the source said.
Maharastra Chief Minister Devendra Fadnavis last month assured that the project will be launched after negotiations with the stakeholders.
Local fishermen and farmers are against the project because it hurts their livelihood, Business Standard reports.
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