State-owned Oil and Natural Gas Corporation (ONGC)’s overseas investment arm ONGC Videsh Ltd is looking to explore production investment opportunities in Africa and Latin America.
Rajarshi Gupta, Managing Director of ONGC Videsh, while speaking on the sidelines of the India Energy Week in Bengaluru, said the company is interested in exploration and production assets in countries like Ghana and Suriname. "Bigger hot spots with larger discoveries" are better options to invest, Gupta said, citing huge hydrocarbon potential in Africa and Latin America.
In addition to this, India's flagship overseas oil firm has also signed a memorandum of understanding (MoU) with YPF SA of Argentina. YPF is Argentina's largest integrated energy company with Argentine Government owning 51 per cent and the rest 49 per cent listed in the New York and Buenos Aires stock exchanges.
ONGC Videsh, in a statement, said, "The MOU seeks to enhance cooperation between the two companies in the energy sector, including but not limited to cooperation in the areas of exploration and development of upstream oil and gas opportunities, promote investment and cooperation, and forging closer ties between research and training centres.”
YPF, which is engaged in oil and gas exploration and production, is the largest shale operator outside of the United States of America and is also involved in the transportation, refining and marketing of natural gas and petroleum products.
ONGC Videsh, on the other hand, currently has a stake in 32 oil and gas projects in 15 countries, spanning from Venezuela to Vietnam. The company’s biggest investment is in Russia, with its main producing asset Sakhalin-1 producing around 150,000 barrels per day after the resumption of production under the management.
Gupta added that the output should reach 200,000 barrels per day by June. ONGC Videsh holds a 20 per cent stake in Sakhalin-1.
(With inputs from PTI)
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