SABIC eyes 50% stake in India’s largest petchem plant: report

Saudi Basic Industries Corp (SABIC) is seeking to buy about half of the $4.6-billion Oil and Natural Gas Corp. (ONGC) backed India’s biggest petrochemical plant, Reuters reported, citing sources familiar with the matter.

“They (SABIC} want to have a significant stake in ONGC Petro Additions Ltd (OPaL), around 50 percent,” a source told the news agency.

The second source added: “SABIC is the latest entrant. Recently SABIC has held talks with ONGC officials about a stake purchase."

Previously, ONGC had held talks about selling a stake in the project with Saudi Aramco, the world's largest oil producer, and Petrochemical Industries Co, a unit of Kuwait Petroleum Corp, the report said.

ONGC is a majority shareholder in ONGC Petro Additions Ltd, which operates OPaL in western Gujarat state.

In April, Saudi Aramco signed an initial deal with India to buy a 50 percent stake in a planned $44 billion refinery and petrochemical project at Ratnagiri, Maharashtra.