ONGC Videsh has entered an agreement with Tullow Oil to acquire a 15% participating interest in the offshore Namibia Petroleum Exploration License 0030 for Block 2012A.
India-based ONGC Videsh said today (21 November) the completion of this transaction would strengthen ONGC Videsh's partnership with Tullow and its other partners including NAMCOR, the national oil company of Namibia and would mark consolidation of ONGC Videsh interest in Namibian offshore. The acquisition is consistent with ONGC Videsh’s strategic objective of adding high quality exploration and production assets to its existing E&P portfolio.
The acquisition is subject to approval by Namibian regulatory and joint venture partners approvals, as well as grant of a 12-month extension to the First Renewal Exploration Period by Namibia’s regulatory authority.
Tullow currently holds a 25% interest in the license. Other participating interest partners in the license include operator Eco Oil and Gas Namibia (32.5%), Azimuth Namibia (32.5%) and National Petroleum Corporation of Namibia (10%). The license is currently under first renewal exploration period and the joint venture partners are carrying out data evaluation for identifying a drill prospect.
Tullow is expected to acquire another 15% participating interest and become license operator if the company decides to proceed into the second renewal exploration period.
Last month, ONGC Videsh officially entered Namibia’s offshore sector with its acquisition from Tullow of a 30% participating interest in PEL-0037.
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