New Delhi : The Oil Ministry wants UK’s BP plc to furnish a bank guarantee and an undertaking that it will meet the minimum investment requirement for getting a licence to retail jet fuel (ATF) to airlines in India.
The ministry, which had in March rejected BP’s application to sell ATF on grounds that its investment does not qualify for a retailing licence, says the Europe’s second-largest oil company can still get the licence provided it meets the eligibility criteria, a ministry official told PTI.
BP Exploration (Alpha) Ltd, a wholly owned subsidiary of BP plc, had on June 11, 2014 submitted an application for authorisation to market aviation turbine fuel (ATF) claiming to have invested USD 477 million in the country.
The Ministry rejecting the application said only USD 171 million of the claimed investment was capital expenditure and the rest operating expenditure.
