010711b

Page 1

Indo American News • Friday, January 07, 2011

online edition: www.indoamerican-news.com

Business

www.indoamerican-news.com

Friday, January 07, 2011

25

IndoAmerican News

STOCKS • FINANCE • SOUTH ASIAN MARKETS • TECHNOLOGY

Reliance Industries Embarks on 2-Year, $5 Billion Transformation

MUMBAI (HT): Mukesh Ambani-controlled Reliance Industries Ltd (RIL) is working on an ambitious two-year plan to overhaul the global image of the textiles-to-oil conglomerate. It has appointed consulting firms AT Kearney and Booz & Co to suggest a suitable blueprint for the transformation, industry sources said. An RIL spokesperson maintained “no comments” on this development, industry sources said the company along with its consultants is finalising a $5 billion (R22,500 crore) investment plan that may begin as early as next financial year. Besides, the RIL may also look at

some consolidation, which includes selling stakes in some exploration and production blocks. Sources said RIL has revived its talks with global oil major BP and plans to sell its stake in E&P assets. The RIL spokesperson said, “Talks with BP are on but are slow.” “The investment plans of RIL could includes a $1.2 billion liquefied natural gas (LNG) terminal besides expansion of its refinery and petrochemical facilities,” the sources said. “RIL is mulling the establishment of a LNG import terminal on either the East or West Coast to meet demand at its refineries and petrochemical plants.”

RIL already has two mega world class refineries at Jamnagar in Gujarat with a combined capacity of 1.24 million barrels per day. Reliance also has a strong foothold on the gas front and is already producing 60 million standard cubic metres per day (mmscmd) from its KG-D6 gas field, off the Andhra coast. Setting up an LNG terminal will help the company in importing and selling gas. The company had contemplated setting up the liquefied natural gas (LNG) import terminal as early as 1997. However, it shelved plans for the 5 million tonnes-per-annum port terminal at Jamnagar and a plant for continued on page 26

Reliance Chairman Mukesh Ambani has launched a 2-year, $5 billion transformation of his conglomerate.

INDO AMERICAN NEWS • FRIDAY, January 07, 2011 • ONLINE EDITION: WWW.INDOAMERICAN-NEWS.COM


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.