India, Asia's third-largest oil consumer, has begun talks to build a 120,000 barrels-a-day refinery in Iraq. The plant will process Basrah crude oil produced in the country, India's Oil Minister Murli Deora said in Riyadh yesterday. The Middle East nation has asked India to prepare a plan to build the plant, Deora said after a meeting with his counterpart Hussain al-Shahristani.
India is offering to build power plants, roads and ports to oil producing countries such as Nigeria in exchange for a stake in their fields to secure energy supplies as demand grows. India, Asia's fourth-largest economy, imports three-fourths of oil requirements as output from aging fields decline.