Myanmar may award oil exploration block to India

Myanmar may award at least one offshore oil and gas exploration block and refinery revamp projects to Indian firms. India is also exploring the possibility of piping the huge gas reserves discovered in offshore Myanmar earlier this month.

Myanmar is likely to award the prospective A-3 block in the Bay of Bengal to ONGC Videsh Ltd besides giving IOC a $116 million contract for revamping its old refinery. Petroleum Minister Ram Naik told reporters after his meeting with his Myanmarese counterpart Lun Thi that the Myanmar government has agreed to finalise the agreement for A-3 block as early as possible. Block A-3 lies on the southern edge of block A-1, where 4 to 6 trillion cubic feet of gas reserves was discovered earlier this month. Block A-3 is said to have both oil and gas potential while A-1 is believed to be more gas-prone.

“We are exploring if gas from block A-1 can be brought to India,” Naik said. Petroleum Secretary B. K. Chaturvedi said that Gail would carry out a feasibility study to explore laying pipelines —an undersea line connecting the find to eastern cost or an onland version travelling through Bangladesh into the North-East or West Bengal.