Reliance in talks for US gasfield stake: report
Indian conglomerate Reliance is in late-stage talks to buy a big stake in a US natural gasfield, a report said Wednesday, after suffering several recent setbacks in overseas investments.
Reliance is nearing a deal to invest 1.0-1.5 billion dollars in a joint venture with Atlas Energy, which controls part of a huge gasfield in the northeast of the United States, the Wall Street Journal said.
While Reliance is "the prime player" in the discussions, the Journal said, citing unnamed sources, other parties such as San Diego-based Sempra Energy are also negotiating to be part of the deal.
Reliance, controlled by India's richest man Mukesh Ambani, is on the lookout for foreign takeovers as it seeks to expand outside the Indian market, where 97 percent of its assets are based.
Last month, the company bid 2.0 billion dollars for a stake in Canadian oil producer Value Creation Inc., but lost out to Britain's BP.
Reliance also failed in its 14.5-billion-dollar bid for bankrupt chemicals group LyondellBasell, a Netherlands-based group with substantial operations in the US.
Copyright 2010 AFP South Asian Edition
