BPCL to buy Govt. stake in KRL

NEW DELHI, MARCH 20. The public sector Bharat Petroleum Corporation (BPCL) will buy 55.04 per cent Government stake in Kochi Refinery (KRL) for Rs. 660 crores, a decision for this has been taken by BPCL board today.

When contacted Mr. Ashok Sinha, director (finance) told PTI ``We have approved the value of Rs. 660 crores for KRL at our board meeting today." Asked about the Numaligarh Refinery (NRL), Mr. Sinha said ``We decided only on KRL and modalities about Numaligarh are yet to be worked out."

This is part of the Centre's decision on September 4, 2000, to sell four of its standalone refineries to BPCL and Indian Oil Corporation (IOC) for an estimated Rs. 2,000 crores as part of restructuring prior to complete liberalisation of the oil sector by the year 2002.

BPCL already holds a 32 per cent stake in Numaligarh Refinery. It has decided to acquire another 19 per cent stake in it. The Assam Government and Oil Industry Development Board hold a 10 per cent stake each in the refinery and the remaining 29 per cent is held by the public.

BPCL had recently informed the Bombay Stock Exchange that it had received the Centre's offer for acquisition of its holdings in the standalone refinery while pointing out that the corporation was having constant dialogue with the government in this regard.

- PTI

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