Bharat Petroleum Corporation Ltd (BPCL) has been procuring the majority of its raw supply of crude oil from the Gulf countries of Saudi Arabia and Iraq and is planning to decentralize its supply sources in its assertive step of reducing the dependability in any particular area or country.

BPCL has entered into an agreement with Petrobras, the Brazilian national oil company for sourcing its crude oil for long-term supply from this Latin American producer. BPCL disclosed on Saturday mentioned through a statement that a Memorandum of Understanding (MOU) is signed in Brazil, by Petrobras CEO Caio Paes de Andrade and Arun Kumar Singh, Chairman and Managing Director, BPCL.

It mentioned, “The signing of the MoU will strengthen future crude oil trade relations between the two companies and explore potential crude import opportunities by BPCL on a long-term basis, especially considering the current geopolitical situations.”

Arun elaborated that the collaboration of BPCL with Petrobras will enable the achievement of the goal of energy security for the nation. Currently, Bharat Petroleum buys large volumes of raw crude oil that is processed in its three refineries in Kochi, Bina in Madhya Pradesh, and Mumbai.