ONGC Seeks Private Partners to Boost Output: Press

Indian state oil company ONGC has collected bids from private companies to help it raise production at marginal oil and gas fields, Bloomberg reported on January 23 citing sources.

In the first bidding around of its kind in India, ONGC invited private firms to assist in developing 64 marginal fields, the news agency said. The company received 28 offers from 12 companies for 50 of the fields at the close of bidding on January 17.

The 64 fields ONGC offered come under 17 onshore contract areas and hold a total of 300mn mt of oil equivalent. Offers were filed for 14 of the areas, from companies including Duganta Oil and Gas, Orissa Stevedores, Priserve Infrastructure and Udayan Oil Solutions.

ONGC is seeking partners to raise production at the fields from a pre-agreed baseline, under 15-year contracts with a five-year extension option. The contractors will receive a cut of revenues from this incremental output in return.