BP partners Reliance in $7.2 bn oil tie-up - Hindustan Times

BP said on Monday it will pay Reliance Industries $7.2 billion and performance payments of up to $1.8 billion if the tie-up leads to the development of commercial discoveries.

Oil Tanks India manufacturing facility.

BP said on Monday it will pay Reliance Industries $7.2 billion and performance payments of up to $1.8 billion if the tie-up leads to the development of commercial discoveries. "This partnership combines the skills of both companies and will be focused on finding more hydrocarbons in the deep water blocks of India," Mukesh Ambani, chairman and managing director of Reliance Industries, said in a statement.

Manufacturer of Diesel Tanks India.

BP is recovering from last year's disastrous Gulf of Mexico spill which cost it billions of dollars and former CEO Tony Hayward his job. "It's kind of similar to the Russian deal - it's getting access to longer term positions which could be material....But we've got a key risk here. The gas price is regulated, it's not rising as quickly as people expected," Oswald Clint from Sanford Bernstein said.

Oil Tanks India manufacturing facility.

BP partners Reliance in $7.2 bn oil tie-up - Hindustan Times