ONGC looks for equity partner in Vietnam project.

Having extended its stay in South China Sea to promote India's strategic interest, state-owned Oil and Natural Gas Corp is looking for an equity partner to continue exploration for oil and gas offshore Vietnam.

ONGC Videsh Ltd, the overseas investment arm of ONGC, had in July 2012 reversed its decision to exit Block 128 as Hannoi offered additional data that could help it make future exploration economically feasible and discovering hydrocarbons commercially viable.

'We are looking for a partner for Block 128 where we currently hold 100 per cent interest. We are talking to (Vietnam's national oil company) PetroVietnam and some others,' OVL Managing Director S P Garg said here.


OVL, he said, wants to retain a majority 51 per cent stake in Block 128 and the remaining it wants to offer to PetroVietnam to de-risk exploration in the block over which China had claimed territorial rights.

Ignoring objections from China, OVL had in July 2012 decided to continue to explore for oil and gas offshore Vietnam in the South China Sea. OVL had in June 2012 decided to return Block 128 to Vietnam as exploration there wasn't commercially viable but it did an about-turn at the insistence of the Ministry of External Affairs which wanted India to continue its presence in the South China Sea.



HBL