State-owned Hindustan Petroleum Corporation Limited (HPCL) of India has started selling lubricants in Myanmar.
HPCL aims to play a bigger role in the south-east Asian nation’s oil and gas sector as a part of its broader plans.
“Having achieved the number one position in the domestic market, HP Lubricants sought to prove itself in foreign shore by venturing into Myanmar,” the company said in a statement.
HPCL is the first Indian oil company to have started marketing lubricants oil in Myanmar and has chosen commercial hubs of Yangon and Mandalay.
India is pushing for fuel supply to Myanmar to meet rising demand.
Following the lifting of sanctions, Myanmar is looking at foreign companies to cater to fuel and infrastructure requirements arising out of a dramatic surge in consumption.
Its three aging state-owned refineries with a combined capacity of around 2.5 million tons are running substantially below capacity and are able to meet only a part of the fuel requirement.
Indian oil companies had seen an opportunity in this and have been exploring supply of petroleum products, LPG, wax, and petrochemicals.
While Indian Oil Corp is studying options of fuel retailing in Myanmar, Numaligarh refinery of Bharat Petroleum Corp Ltd is keen to supply diesel to the country.
In late February, Oil Minister Dharmendra Pradhan visited Myanmar to explore opportunities there to supply refined oil products, also highlighted the interest of Indian upstream companies to take part in the forthcoming bidding in Myanmar’s oil and gas blocks.