Saudi Aramco is likely to bid for buying Indian government’s stake in Bharat Petroleum Co. Ltd (BPCL) as part of the its planned foray in to one of the world’s biggest oil retail markets, The Economic Times reported.

The ET quoting sources privy to the matter reported that Aramco is in the process of evaluating its Indian investments, including its possible partnership with Reliance India Ltd, and is of the view that buying out BPCL as a good opportunity.

Earlier in August this year, RIL Chariman Mukesh Ambani informed the company’s annual general meeting that Aramco would buy 20 per cent of Reliance’s oil, chemicals and petrochemicals business for an enterprise value of $15 billion.

Crown Prince Mohammed bin Salman is looking to utilise the windfall proceeds from the IPO to modernise the country’s economy.

Saudi Arabia is expected to officially approve the initial public offering (IPO) of Saudi Aramco this week. The state-owned energy company is planning to list in Riyadh stock exchange and could be valued as high as $2 trillion dollars.

The Union government is readying its plan to invite top global energy behemoths to bid for its stake in BPCL. The government is looking at selling its 53.29 percent stake in BPCL to a strategic investor in what is touted to be the biggest privatisation bid in the history of India. The government is hoping to garner 1.05 lakh crore in divestment proceeds this financial year through privatisation of BPCL, Container Corp of India and Shipping Corp of India.

The global energy giants include Exxon Mobil, Chevron and ConocoPhillips (from the US), Royal Dutch Shell and BP Plc (the UK), Rosneft and LukOil (Russia), Petro China, CNPC and Sinopec (China), Total SA (France) and Saudi Aramco.

Going by the current market capitalisation of BPCL, the government can hope to garner least Rs 60,000 crore to buy the government's 53 per cent stake in BPCL.