ONGC to bid for 32 NELP blocks

The bidding for the new policy, which has opened up the country8217;s exploration and production sector to foreign as well as domestic private participation, would start next month. Roadshows for NELP were held in New Delhi, London, Houston, Calgary and Singapore during January-February 1999.

IOC has approached ONGC for bidding for NELP blocks on joint venture basis and both the corporations are still holding talks, the sources added. The boards of IOC and ONGC recentlycleared a strategic alliance between the two corporations for cooperating in several petroleum sector operations including bidding for the NELP blocks.

The two national oil companies had also executed share cross-holding towards the end of fiscal 1998-99, as a result of which both IOC and ONGC hold ten per cent of each other8217;s equity.

The sources said ONGC was also working on the possibility of other partnerships for NELP projects. The upstream major has a standing partnership with Reliance and Enron Oil and Gas for exploration and production activities in Tapti and Panna-Mukta oil fields in Gujarat and Madhya Pradesh respectively.