UAE oil storage company BPGIC is in advanced talks to buy a green energy firm as it aims to diversify its business and contribute to the global push to fight climate change, an industry source close to the discussions told Reuters.

Brooge Petroleum and Gas Investment Co BPGIC is in talks with two companies, Austrias Heliovis AG a solar energy equipment supplier, and Serbias Storenergy a renewable energy solutions firm, the source said.

U.S.listed BPGIC aims to finalise a decision whether to acquire one of the companies by the third quarter of this year, the source added.

BPGIC and Storenergy did not immediately respond to a Reuters request for comment. Heliovis declined to comment.

BPGIC, established in 2013, is one of the largest holders of storage assets in Fujairah, one of the seven emirates in the UAE.

Fujairah is one of the worlds biggest ship refuelling hubs because of its location just outside the Strait of Hormuz, an important shipping lane for oil exports from Iraq, Saudi Arabia, Kuwait and Iran.

Reporting by Rania El Gamal. Editing by Ghaida Ghantous and Jane Merriman

Source Reuters