Agencies
Mumbai
India’s state-owned Oil and Natural Gas Corporation (ONGC) is reportedly in talks with Saudi Arabia to develop a greenfield refinery in Gujarat, the home state of Indian Prime Minister Narendra Modi.
The proposed coastal refinery will be set up in Jamnagar district through a joint venture company, an unnamed government official told moneycontrol.com, an Indian financial portal.
Saudi Arabia is expected to supply crude to the refinery, the official said.
ONGC is conducting a feasibility study to determine the planned capacity and funding requirements for the refinery.
The move follows energy cooperation commitments made during Modi’s visit to Saudi Arabia in April 2025, where both countries agreed to jointly pursue refinery and petrochemical ventures. A joint statement at the time outlined plans for two new refinery projects in India.
The second facility will be set up in Andra Pradesh’s Nellore district, being led by Bharat Petroleum Corporation Limited (BPCL), another public sector enterprise.
BPCL is willing to dilute a 20-25 percent stake in the new refinery to Riyadh, which is expected to supply crude for refining.
In June 2024 Saudi Aramco chairman Yasir Al Rumayyan was reappointed as an independent director on the board of India’s Reliance Industries Limited.
Reliance, owned by Indian billionaire Mukesh Ambani, and Aramco shelved a previously planned deal in 2021, citing valuation disagreements over investment in Reliance’s oil-to-chemicals division.
