The strategic sale in BPCL by the government may pave the way for ONGC to find a strategic partner for its oil marketing company HPCL. ONGC acquired HPCL in FY18 for Rs 36,916 crore.

Speaking at India Energy Forum by CERA, minister for petroleum and natural gas, Dharmendra Pradhan said, “Decision on stake sale is driven by market forces, they are free to make their own decision at an appropriate time.”

The Government is considering the strategic divestment of its entire stake in BPCL with the transfer of management control. Department of investment and public asset management has issued tender for the transaction and legal advisor along with asset values to assist and advise the government.

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Meanwhile, French major TOTAL’s Chairman and CEO Patrick Pouyanné said, “We do not plan to invest in refinery but only downstream and petrochemical”

BP’s Group Executive Bob Dudley though showed some interest and said, “Privatisation seems very exciting. It seems this is the largest one in India’s history but we will need to see what’s on offer.”

It is noteworthy, the government has a planned target of Rs 1.05 lakh crore under the divestment plan for FY20.