New Delhi: Mangalore Refinery and Petrochemicals Ltd (MRPL), a Miniratna company and a subsidiary of ONGC, have entered into an agreement to form a joint venture with Shell for domestic marketing of aviation turbine fuel (ATF).
According to a press release issued on 5 February, the JV agreement, signed by MRPL managing director, R Rajamani, and vice-president Shell Aviation, Sjoerd Post, will become effective on 1 March 2008.
An official of Shell in India told Livemint.com that the the JV is an equal partnership.
The JV company would be incorporated as a private limited entity with an initial equity of Rs30 crore.
The JV will be exclusive in nature and both MRPL and Shell will route all their future marketing activities for ATF through it. Shell will provide the technical service to the JV free of cost, the release said.
The JV will initially commence marketing of ATF at Bangalore and Hyderabad, and later expand its operations to other airports in India. The release said the venture will refuel foreign aircraft in Indian airports and will also contract refuelling of Indian aircraft at foreign airports through Shell affiliates.