BPCL plans $3 billion bond sale for Brazil oil project
Bharat Petroleum Corp. (BPCL) is planning a major international bond sale to raise up to $3 billion. The proceeds will primarily fund a significant offshore oil project in Brazil and help refinance debt maturing next year, according to sources familiar with the matter.
The largest portion of the funds will support BPCL’s $2.8 billion contribution to the SEAP-I offshore development in Brazil. The company plans to issue the bonds in multiple tranches and recently held investor roadshows in London, Dubai, and Singapore to assess demand.
India’s push for overseas energy investments highlights the country’s efforts to diversify its energy supplies amid disruptions caused by conflicts in the Middle East and between Russia and Ukraine. State-run companies like BPCL and Oil and Natural Gas Corp. are increasing their investments abroad as India seeks to reduce reliance on traditional crude and natural gas suppliers.
The SEAP-I project, operated by Petrobras, aims to produce 120,000 barrels of oil per day and process 10 million cubic meters of natural gas daily by 2030. Gas exports are expected to begin a year later. The project received final investment approval earlier this year after delays in securing a floating production vessel.