ONGC Videsh Ltd wins two oil blocks in Myanmar

Posted on October 14, 2013 by sagarmedia

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According to Myanmar official figures, there are 53 onshore and 48 offshore blocks under operation with  foreign investment.

At present, there are mainly three offshore natural gas projects in Myanmar — Yadana, Yetagun and Shwe, of which Yadana is the largest  yielding gas of 834 million cubic feet (23.6 million cubic meters) per day.

Foreign investment in Myanmar’s oil and gas sector had reached 14.372 billion U.S. dollars in 115 projects as of the end of July 2013, accounting for 33.46 percent and ranking the second in the country’s foreign investment sectorally after electric power.

Of the 16 onshore blocks, 13 are set for exploration by winning companies from nine countries under Production Sharing Contract ( PSC), while the remaining three blocks are operated by two other countries under Improved Petroleum Recovery Contract (IPR).

  A total of 78 foreign companies bid with the ministry for operating the onshore blocks in January this year.< ONGC Videsh Ltd, overseas entity of  Oil and Natural Gas Corp  won two on land oil blocks in Myanmar, thus further making its  presence in the south-east Asian nation. OVL,  stakes in the A-1 and A-3 gas discovery blocks, plus three other offshore acreages in Myanmar,  last week awarded two oil and gas exploration blocks in that country’s Onshore Blocks Second Bidding Round – 2013.

The firm ONGC Videsh Ltd following blocks, Blocks B-2 (Zebyutaung-Nandaw) and EP-3 (Thegon-Shwegu), according to the list of winners released by Myanmar’s Energy Ministry and remaining   pre-qualified Indian companies, Cairn India, Oil India Ltd (OIL), Jubilant Offshore Drilling and Prize Petroleum fail to gain any contract .

Myanmar government awarded thirteen  onshore blocks,  OVL,  the  other entities are ,Italy’s Eni, Pakistan’s Petroleum Exploration (PVT) and Canada’s Pacific Hunt Energy Corp each winning contracts to operate two blocks.

Entities further, Malaysia’s Petronas, Brunei National Petroleum Co, CAOG Sarl of Luxembourg, Bashneft of Russia and PTT Exploration and Production of Thailand won one block each, the Myanmar ministry said.

Myanmar had in January had offered 16 onshore areas – 15 Production Sharing Contracts (PSC) and 3 Improved Petroleum Recovery Contracts (IPR).