ONGC, PetroVietnam mull joint bid for BP’s Vietnam assets

ONGC, PetroVietnam mull joint bid for BP’s Vietnam assets
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First Published: Thu, Jul 22 2010. 02 35 PM IST
Updated: Thu, Jul 22 2010. 02 35 PM IST
New Delhi: State-run explorer Oil and Natural Gas Corp (ONGC) and PetroVietnam are considering a joint bid for BP’s stake in an offshore Vietnam gas field, oil minister Murli Deora told Reuters on Thursday.
ONGC has a 45% share in Block 6.1 in the Nam Con Son basin, off Vietnam’s southeast coast, which is operated by BP with a 35% stake, ONGC’s website shows. The rest is owned by PetroVietnam.
“Just now I have met the Vietnam Prime Minister. In principle, he has agreed to our proposal. Now, we have to negotiate with BP,” Deora said.
On Wednesday, ONGC head RS Sharma said the company was interested in buying BP’s stake in the project.
A BP spokesman said the company was “exploring divestment options” for its interest in the Nam Con Son gas project, which the London-based firm says is one of Vietnam’s largest foreign investment projects.
The interest, which comprises stakes in the Lan Tay and Lan Do gas fields, the Nam Con Son pipeline and the Phu My power generation project, is worth $966 million, analysts at UBS said in a research note on Monday.
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First Published: Thu, Jul 22 2010. 02 35 PM IST
More Topics: ONGC | PetroVietnam | BP | Gas | Oil |