New Delhi: Bharat Petroleum Corporation Limited (BPCL) is preparing an international bond issue to raise up to $3 billion, with most of the proceeds expected to fund its investment in a major offshore oil and gas project in Brazil and refinance debt due next year, according to people familiar with the matter.
The Indian state-owned refiner plans to raise the funds through multiple tranches and held investor roadshows in London, Dubai and Singapore last month to assess demand, the people said, requesting anonymity because the discussions are private. A BPCL spokesperson did not immediately respond to a request for comment.
The proposed fundraising is closely linked to BPCL’s overseas energy investment strategy, particularly its commitment to the SEAP-I offshore development in Brazil, where the company’s subsidiary, Bharat PetroResources Limited (BPRL), holds a 40% stake.
BPCL’s $3 Billion Bond Plan to Support Brazil Offshore Project
The largest share of the proposed bond proceeds is expected to support BPCL’s contribution of approximately $2.8 billion to the SEAP-I offshore oil and gas development in Brazil.
The project forms part of the BM-SEAL-11 area, where Brazil’s state-controlled oil company, Petróleo Brasileiro S.A. (Petrobras), operates and holds the largest stake. BPCL’s subsidiary, Bharat PetroResources Limited, owns 40% of the project.
The planned bond issue is expected to help BPCL meet its funding requirements for the development while also addressing debt repayments scheduled for next year. The proposed fundraising could reach $3 billion, although the final size and structure may depend on investor demand and financing arrangements.
SEAP-I Project Targets Oil Production of 120,000 Barrels Per Day
The SEAP-I offshore development is expected to become a significant oil and gas production project once fully operational.
According to Petrobras, the project is designed to achieve the following production capacity:
- Oil production: 120,000 barrels per day.
- Natural gas processing: 10 million cubic metres per day.
- Target for oil production: 2030.
- Expected start of gas exports: 2031.
The project’s development faced delays while arrangements were being made to secure a floating production, storage and offloading (FPSO) vessel. Petrobras approved the final investment decision earlier in 2026, clearing a key milestone for the project’s development.
Discoveries in the area were declared commercially viable in 2021, and a development plan was submitted to Brazil’s oil regulator in 2022.
India Seeks to Diversify Crude Oil and Natural Gas Supplies
BPCL’s proposed investment in Brazil comes as India steps up efforts to diversify its overseas energy supplies amid geopolitical disruptions affecting traditional sources of oil and gas.
India imports nearly 90% of its crude oil requirements and around half of its natural gas needs, making access to reliable international energy supplies a strategic priority.
State-owned energy companies, including BPCL and Oil and Natural Gas Corporation (ONGC), are preparing to increase overseas investments as India seeks to strengthen supply security and reduce dependence on a limited number of sources.
According to data from Kpler cited in the report, India’s crude oil imports from Brazil have more than doubled from 2025 levels so far in 2026, making Brazil the country’s fifth-largest crude oil supplier.
The proposed investment in SEAP-I reflects the growing importance of overseas oil and gas assets in supporting India’s long-term energy requirements.
South America Gains Importance in Global Energy Investments
The planned investment also reflects a wider trend of international energy companies increasing their focus on oil and gas opportunities in South America.
The region is attracting investment because of its substantial energy resources and its potential to diversify production beyond areas facing greater geopolitical uncertainty.
Major energy companies, including Exxon Mobil Corporation and TotalEnergies SE, are also planning investments in the resource-rich region.
For BPCL, participation in Brazil’s offshore oil and gas sector provides exposure to a major international development and supports its broader objective of strengthening overseas energy assets.
About Bharat Petroleum Corporation Limited (BPCL)
Bharat Petroleum Corporation Limited (BPCL) is a Maharatna Central Public Sector Enterprise under the Ministry of Petroleum and Natural Gas, Government of India. It is one of India’s leading oil refining and marketing companies, with operations spanning refining, fuel distribution and other energy-related businesses. Through its subsidiary Bharat PetroResources Limited, BPCL also invests in exploration and production projects in India and overseas.
