Beximco, IndianOil Join Forces For LPG Business2 min read
Recently, IndianOil Corporation and Beximco signed an agreement to form a joint venture for starting LPG Business in Bangladesh.
Not to mention, the agreement is a major milestone of India-Bangladesh cooperation. Especially, when a group company of IndianOil based in Dubai is joining hands with one of the most promising LPG companies in Bangladesh through its holding company in UAE.
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Moreover, this Beximco-IndianOil agreement will bring success to LPG penetration in rural India. In addition, the new joint venture would be the catalyst for socio-economic change in Bangladesh through affordable LPG in the country.
“At a time when the entire world is grappling with the severe economic consequences of the COVID 19 pandemic, this investment also reflects the resilient and enduring friendship between Bangladesh and India. Moreover, the joint venture company (JVC) should serve as a testament to the remarkable investment potential of Bangladesh.
– Salman F. Rahman
(Private Industry and Investment Adviser to the Prime Minister)
At present, the LPG market in Bangladesh has seen a five-fold growth in the past five years. Moreover, experts expect it to grow at a CAGR of 12-13 percent. Therefore, The JVC will draw strength from the core competencies of IndianOil and the local expertise of Beximco. As per the business plan, the JVC would begin functioning by acquiring Beximco’s existing LPG assets.
“We intend to set up a large LPG terminal at a deep-water port in Bangladesh, which would facilitate receipt of LPG in Very Large Gas Carriers, leading to reduction in cost of imports. Reduction in cost of import would help make LPG available at an affordable price to the people of Bangladesh.”
– Sanjiv Singh
At this instant, The agreement aspires to become the most trusted, admired, and premiere LPG company in Bangladesh. Correspondingly, by offering the safest, smartest, and most convenient LPG solutions with best-in-class customer service.
Furthermore, the plan intends to diversify into other downstream Oil & Gas businesses e.g. lube blending Plant, LNG, Petrochemicals, LPG export to North East India through pipeline between two nations, renewable energy, etc. says the statement.
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