Shirish Nadkarni
OGJ Correspondent
MUMBAI, Jan. 18 -- The Indian government has offered 20 oil and gas blocks for exploration in the fifth round of bidding under its New Exploration Licensing Policy (NELP-V).
The government is accelerating its licensing efforts in response to rising oil use and imports. India currently imports 70% of its crude oil, a number expected to rise to 85% during the next 10-15 years. It is Asia's third largest energy consumer behind China and Japan.
The Petroleum Ministry will open bidding for 2 shallow-water sites, 6 deepwater blocks, and 12 onshore sites in nine states, including Maharashtra on the western coast for the first time. The 20 blocks cover 109,210 sq km.
The Directorate General of Hydrocarbons will present the program in New Delhi, London, Dubai, Houston, and Calgary during the year's first quarter. Companies may place bids until May 31, and the blocks will be awarded by July 15.
Since the launch of the NELP in 1999, India has auctioned 90 blocks to domestic and international bidders, resulting in investment pledges of $4.4 billion.
There have been 57 discoveries, including major ones in October 2002 by Reliance Industries and Niko Resources in the Krishna-Godavari deepwater basin off southern India and by Cairn Energy last year in Rajasthan in the northwest.
