This is like just another feather in Reliance Industries’ cap. India’s biggest private sector oil firm, Reliance Industries Ltd, has taken a majority stake in Gulf Africa Petroleum Corp (GAPCO), an African oil company.
Reliance has taken 50% stake in the GAPCO through its owned subsidiary firm, Reliance Industries Middle East. The Reliance Industries Middle East is registered in the UAE.
Now, The RIL will have the management control of the GAPCO that would possibly change the face of petro-retailing markets in several countries belong to east and central African countries.
However, the RIL have not disclosed the size of the deal but this is being said that the deal is worth of $350 million. According to the report, RIL has even planned to invest more money for the up-gradation of various plants of the African oil company.
The remaining 50% stake has with the Anglo-Dutch Shell, UK’s BP and Chevron of US. The GAPCO has its headquarter in Mauritius. The company owns major storage terminals and a retail network in several African countries such as Tanzania, Uganda, Sudan and Kenya.
Apart from this, the company also owns more than 250 outlets catering to retail and industrial customers. GAPCO’s two brands, Gapoil and Gapco, have a 40% share of the local oil trade.