The Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi has approved an additional investment of $1.6 billion or Rs 12,000 crore by Bharat Petro Resources Limited (BPRL), a wholly owned subsidiary of Bharat Petroleum Corporation Limited (BPCL). Is. Explain that the company is going to make this investment to start the BM-SEAL-11 concession project in Brazil.
CCEA also approved to increase the limit of equity investment by BPCL in BPRL and the authorized share capital of the company from Rs 15,000 crore to Rs 20,000 crore (subscribed by BPCL from time to time) and authorize an increase in the limit of equity has given.
Investment in International BV Brasil Petroleo Limitada by BPRL International BV through Intermediate WOS is an increase of Rs 15,000 crore i.e. Rs 10,000 crore from the current limit of Rs 5,000 crore.
Production in the BM-SEAL-11 project is expected to start from 2026-27. It will help in access to equity oil to strengthen India's energy security and diversify India's crude oil supply. Indian oil companies have shown interest in getting more crude oil from Brazil.
It will also help India gain a foothold in Brazil, opening up trade avenues for neighboring Latin American countries. Bilateral relations between the countries will get further strengthened.
BPRL has 40 percent Participating Interest (PI) in this concession. Also, Petrobras, the national oil company of Brazil, has a 60% partnership interest with the company as an operator. BPRL has asked to explore and develop this project in Brazil since 2008.