New Delhi:ONGC Videsh Ltd will buy US energy firm Hess Corp.’s stake in Azerbaijan’s giant Azeri-Chirag-Gunashli (ACG) oil field for an undisclosed amount.
As a part of the deal, the company will also buy Hess’ 2.36% stake in BTC export pipeline.
Hess agreed to sell its minority stake to OVL for $1 billion, according to Bloomberg news agency.
The deal may be announced shortly, the people said.
UK’s BP Plc is the operator of the fields with a 34.1% stake. Other partners include Chevron (10.2%), SOCAR (10%), INPEX (10%), Statoil (8.6%), ExxonMobil (8%), TPAO (6.8%), Devon (5.6%) and ITOCHU (3.9%).
The ACG field lies 120km off the coast of Azerbaijan in 120m of water and contains 5.4 billion barrels of recoverable oil. The overall investment in the fields has reached $20 billion, which includes the amount spent on the BTC export pipeline. PTI
