Government on Thursday ruled out hiving off ONGC Videsh Ltd, the overseas arm of state-owned Oil and Natural Gas Corporation, from the parent company.
In a written reply in the Lok Sabha, Petroleum Minister Mani Shankar Aiyar said, "However, the government is considering various measures to strengthen public sector oil companies, including OVL, in their overseas activities in respect of their human, financial, technological and knowledge-base capabilities."
ONGC to raise output by 8% in '06
This is being done to equip them to effectively pursue proposals to acquire producing assets as well as exploration and production projects abroad, he added.
Replying to another query, Aiyar said OVL has bagged an E&P block in Libya. The E&P sharing agreement of block 81-1 in the Ghadames basin measuring 1809 square km is likely to be signed this month. An IOC-OIL consortium have also bagged one block in Libya.
OVL had in 2003 acquired a 49 per cent stake in two onshore blocks NC-188 and NC-189. But as per the minimum work obligations, after acquisition, processing and interpretation of 2D and 3D seismic data, the two wells drilled did not result in any hydrocarbon finds.
To another query, Aiyar said crude oil production during 2005-06 by ONGC from its own fields is estimated to be 25.101 million metric tonnes while the share from joint venture fields is 1.775 MMT. The upstream company plans to raise total production to 29.085 MMT next fiscal, he said.
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