BP BP Plc

By Oliver Griffin

BP PLC (BP.LN) has formed a joint venture with Reliance Industries Ltd. (500325.BY) to build a retail-service station network and aviation-fuels business in India.

The London-listed oil-and-gas giant said it will hold a 49% stake in the new joint-venture, while Reliance Industries will hold the remaining 51%.

BP said its Chief Executive Bob Dudley and Reliance Industries Chairman and Managing Director Mukesh Ambani signed heads of agreements for the joint venture in Mumbai on Tuesday.

The U.K. company said the joint venture will assume ownership of Reliance Industries' existing fuel-retail network in India and access its aviation fuel business.

Reliance Industries current fuel-retailing network has over 1,400 sites across India, BP said. Under the joint venture, the two companies will look to grow the network to 5,500 sites over the next five years.

Additionally, Reliance Industries' aviation-fuels business currently operates at more than 30 airports across the country, BP said.

In turn, the U.K. company will bring its international experience in convenience and fuel retailing and aviation operations. Castrol lubricants will also be available across the venture's network, BP said.

The deal is expected to complete in the first half of 2020.

Write to Oliver Griffin at oliver.griffin@dowjones.com; @OliGGriffin

(END) Dow Jones Newswires

August 06, 2019 08:22 ET (12:22 GMT)

Copyright (c) 2019 Dow Jones & Company, Inc.