Industry sources claim BP is the frontrunner to land the contract, which could see it become the Games' first top-tier partner, although Shell, Texaco and Esso have also had talks with LOCOG regarding the sponsorship.
LOCOG originally stated that its sponsorship drive would focus on the banking, automotive, utilities and telecommunications sectors. However, the level of interest shown by the oil industry has elevated it up the list.
The committee is aiming to charge £100m for each category contract, having increased its sponsorship revenue target for the Games from £300m to £750m, just one year after winning the Olympic bid.
The committee is keen to announce its first top-tier partner before the end of year, once the International Olympic Committee has officially ratified its marketing plan.
It now looks likely that the first of these partners to sign up will come from either the oil or banking sectors, the latter category being the other contract for which talks appear to be reaching a conclusion.
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