Mangalore Refinery, Shell enter into joint venture in aviation fuelling business
06 February 2008
ONGC subsidiary Mangalore Refinery & Petrochemicals Ltd (MRPL), and oil multinational Shell Aviation have entered into a joint venture agreement to market aviation turbine fuel in India.
The joint venture company, to be incorporated as a private limited company with an initial equity of Rs30 crore, will be based in Bangalore from where it will
commence marketing of ATF.
MRPL and Shell plan to focus their marketing efforts initially at Bangalore and Hyderabad airports before expanding operations to other airports in India. The companies say the joint venture company will refuel foreign aircrafts at Indian airports and also contract refuelling of Indian aircrafts at foreign airports through Shell affiliates.
ONGC's chairman and managing director R S Sharma who is also holds charge as chairman MRPL, feels that the agreement with Shell is a major initiative by both companies to cater to the growing Indian aviation sector and would also boost MRPL's marketing efforts.
Shell India's country chairman Vikram Mehta said, "With huge growth in the civil aviation sector in India it is indeed timely that we are formally joining hands with MRPL, to serve this large market opportunity with our shared values of quality products and excellent service."