Mumbai: The multi-million petrochemical project at Nanar in Ratnagiri district is in a soup after the major investor and Saudi Arabia’s state owned oil giant — Saudi ARAMCO has suspended its plan to go public with an Initial Public Offering (IPO). Saudi ARAMCO and Abu Dhabi National Oil Company (ADNOC) have signed an agreement with the union government to invest in the Nanar project. As Saudi ARAMCO has stepped back, the future of the project seems uncertain. However, there has been no official statement in this regard from either the Union or state government.
According to reports from the news agency Reuters, Saudi ARAMCO has suspended its plans to go public. In a statement, Khalid Al Falih, the Saudi energy minister and the company’s chairman, said the IPO had not been called off. “The government remains committed to the IPO of Saudi ARAMCO at a time of its own choosing when conditions are optimum,” he said. “This timing will depend on multiple factors, including favourable market conditions.” Saudi ARAMCO, the world’s largest oil producer, had signed an agreement to take up 50 per cent stake in the Ratnagiri refinery project in April. ARAMCO had later diluted some of its stake to ADNOC. State-owned refiners IOC, HPCL and BPCL will own the remaining 50 per cent stake.