Indian Oil-Petronas Joint Venture Plans To Retail Auto Fuels And Natural Gas In India

IndianOil Petronas Pvt Ltd, the joint venture between Indian Oil Corporation (IOCL) and Malaysia's state-owned Petronas reportedly plans to enter into retailing of transportation fuels as well as natural gas in India. According to a report from ETAuto, Indian Oil is planning to introduce a new fuel and gas retail venture in collaboration with Petronas. Addressing a press conference on the company's June quarter results, Chairman S M Vaidya said Indian Oil Petronas Pvt Ltd (IPPL) will set up petrol pumps and enter into retailing of transportation fuels as well as natural gas.

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The joint venture is presently engaged in the import, storage, and bottling of liquified petroleum gas

The joint venture is presently engaged in the import, storage, and bottling of liquified petroleum gas. Vaidya said that IPPL aims to have a separate brand identity for its fuel retail business, and it will not impact the sales of IOC. He further added that the new venture could be interpreted as a kind of monetization of Indian Oil's fuel marketing business.

Vaidya said to ETAuto, "The new venture wouldn't eat into Indian Oil's existing business. The entire energy pie is increasing so there is no question of cannibalizing. We intend to get the best practices of global companies into India. But it will not be at the cost of our own market share."

However, Indian Oil didn't share more information on investments, timeframes, or the sourcing of fuels.

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