Network Expands As Shell’s Joint Venture in India Signs New Agreements

Shell Aviation (SAV) has announced that it is expanding its operations into 12 airports across India to provide airlines fuel at airports located in the cities of Mumbai, Goa, Chennai, Calicut, Ahmedabad, Jaipur, Kochi, Thiruvananthapuram, Coimbatore, and Mangalore – in addition to the airports in Bangalore and Hyderabad where it first started its operations in India in 2008.

Shell MRPL Aviation Fuels and Services Private Limited (SMA), a joint venture between Shell and Mangalore Refinery & Petrochemicals Ltd (MRPL), signed the new deals to extend its fuel supply services to these 12 airports across India. Shell’s entry into India via the joint venture aligns with Shell Downstream’s selective growth strategy, which includes recent global operational expansions at the new Dubai World Central-Al Maktoum International Airport in Dubai, London City Airport (LCA) in London, and Roskilde Airport in Denmark (RKE).

The aviation industry in India is growing at a remarkable rate, and Shell is very keen to meet the demand for improved fuel delivery in the country. “We ... hope to serve an increasing number of customers that see value in being fuelled by Shell,” said Sanjay Varkey, Chief Executive Officer, Shell MRPL Aviation Fuels and Services Private Limited. “We are committed to providing the same high quality products and services in India that our global customers have come to expect of Shell.”

Shell is currently the only multinational oil company with a government license to market aviation fuels in India. It aims to enhance operational and safety standards in India’s aviation services industry by introducing international best practices, operational efficiency, and pricing  yransparency. Earlier this year, Shell was named the best aviation fuel provider in the emerging markets, including India. “Shell has contributed to the introduction of international approaches such as Mean of Platts Arab Gulf (MoPAG) plus Differential pricing, which provides more transparency compared to Posted Airfield pricing,” said Peter Mihm, Manager Fuel Procurement, Lufthansa. “We hope that this transparency and the entrance of an additional fuel supplier would help keep fuel prices in India at internationally competitive levels.” James Rigney, Etihad Airways’ Chief Financial Officer, said: “The expansion of Shell into the Indian market promotes healthy competition and this supports Etihad’s approach to transparent fuel procurement.”

Through SMA, customers who choose Shell will benefit from experience beyond just the supply of aviation fuel. Shell, with its global footprint, offers a range of innovative products and services, including lubricants, risk marketing, CO2 trading and alternatives to oil-based aviation fuels. In addition, Shell has extensive experience in working with airport authorities and stakeholders to improve overall airport safety and operating standards, including into-plane fuelling, fuel hydrants design, airport network planning and fuel farm systems.

“India’s aviation industry is experiencing phenomenal growth and Shell is in a solid position to support this growth,” said Sjoerd Post, Vice President, Shell Aviation. “Our expanding network in India reinforces our strong focus on India and the region.”

FMI: www.shell.com