The authorization will allow foreign companies to invest in other state oil companies that the government can sell in the future.
Current policy limits FDI in state oil companies to 49%, but allows 100% foreign participation in private sector entities.
The decision will be implemented by executive order and will not require any legal amendment.
The three entities that have submitted EoI (expression of interest) have foreign investment. Anil Agarwal’s Vedanta, through an SPV with London-based parent Vedanta Resources, Apollo Management and Think Gas, have submitted EoIss to acquire the government’s 52.98% stake in BPCL.