Modi's Houston visit may seal major energy deal

New Delhi: Prime Minister Narendra Modi's upcoming agenda-heavy US visit may start a new phase of corporate relations between major energy companies of the two countries.

According to industry sources, an energy major of India Inc may finalise a deal to pick up equity stake in a US-based Fortune 500 oil company. Reliance Industries (RIL), Adani, and Vedanta are among the companies with significant investment in the oil and energy segment.

RIL, Vedanta Cairn or Adani may take up a stake in an American oil major, sources said.

CEOs of 16 leading American companies will attend the roundtable with the Prime Minister in Houston on Saturday, including Baker Hughes, BP, Cheniere Energy, Dominion Energy, Emerson Electric Company, ExxonMobil, Perot Group and Hillwood, IHS Markit, LyondellBasell Industries, McDermott, Schlumberger, Tellurian, Total, Air Products, Vinmar International and Westlake Chemicals.

Further, public sector oil companies including Indian Oil Corp are also likely to use the opportunity to strike oil supply deals, in the wake of the recent disruption in oil markets post drone attacks at Aramco's two oil processing units in Saudi Arabia.

Modi will arrive in Houston on Saturday and head for the roundtable with the chiefs of the energy majors. He is also expected to meet top executives of various start-ups and encourage them to have a wide presence in India.

On the bilateral level, he would discuss various trade pacts with his US counterpart. Besides cooperation in the field of defence and energy, the two countries are likely to discuss action-steps for higher trade and commerce.

Modi will be in the US from September 21 to 27. He will participate in a rally of Indian-Americans in Houston besides addressing the UN General Assembly in New York.