UK set to invest in India after BP block purchase approved
The British goverment has pledged some £1bn ($1.6bn) in commercial investments after oil and gas approval for BP.
The announcement was made by the UK's Chancellor of the Exchequer, George Osborne, soon after the Indian government approved the sale of $7.2bn worth of interests in oil and gas exploration blocks to BP by India's Reliance Industries.
The BP deal, in which the company will acquire a 30% stake in 21 of 23 blocks owned by Reliance, has the potential to reach $20bn according to the UK Treasury. The purchase is in line with BP's intention to grow it exploration operations while divesting itself of many of its downstream assets.
The BP approval has further strengthened the commercial relationship between the UK and India, resulting the latest £1bn pledge of further inward investment by the British Government and corporations in India's commercial activities.
