ONGC Videsh Ltd is looking at bidding for an oil block in Ecuador that has recoverable reserves of around 1 billion barrels.
The company is also open to setting up a refining facility in the country. OVL has signed an MoU with PetroEcuador, Ecuador's state oil company, to bid jointly for oil and gas blocks in Ecuador and other countries.
The MoU entails cooperation in the energy sector for the development and promotion of petroleum, gas, electricity, petrochemicals, external hydrocarbon commercialisation and geological and petroleum research.
"We are looking forward to active participation with OVL," Francisco Carrion Mena, Ecuador's minister of external relations said.
PetroEcuador and OVL will collaborate in exploration and exploitation of hydrocarbons in Ecuador on mutually agreed terms. Such collaborations will include establishment of joint ventures for exploration and exploitation of hydrocarbons in existing and new concessions with a view to increasing production," the release said.In addition, OVL will study improvement options in the value chain of liquefied natural gas in Ecuador.