According to Ali, “OVL is likely to get a 20% stake in Kushk and Hosseinieh oil fields in Iran on nomination basis in exchange for India buying 5 million tons of LNG from Tehran.”
“OVL would be accommodated after Tehran selects operators of the two fields through a bidding round by September-end. OVL would have to participate in the bidding process, [however],” added the official who confirmed the stake would give the Oil and Natural Gas Corp (ONGC) unit access to 60,000 bpd or around 3 million tons of crude per annum.
Iran has been keen to nail the LNG export deal with India for a while now and initially offered a 25% stake in the South Azadegan field as a sweetener. The Japanese operators of the field, however, insisted they preferred an established multinational corporation instead as a partner.
While Ali did not name names, he did mention his government had released a list of companies it would allow to invest in E&P in both Kushk and Hosseinieh and North Azadegan as well.
“An ad hoc buy-back committee has endorsed companies from India, Malaysia, Spain and Russia bidding for the North Azadegan, Kushk and Hosseinieh oil fields.”
“The foreign companies have to apply by the end of September,” he added.
