OVL, OIL to buy offshore Mozambique stake

ONGC Videsh Ltd. and Oil India Ltd. have signed definitive agreements to jointly acquire a 10% participating interest in the deepwater Rovuma basin Offshore Area 1 Block in Mozambique for $2.475 billion.

ONGC Videsh Ltd. and Oil India Ltd. have signed definitive agreements to jointly acquire a 10% participating interest in the deepwater Rovuma basin Offshore Area 1 Block in Mozambique for $2.475 billion.

They will form a jointly owned special-purpose vehicle to buy 100% of Videocon Mozambique Rovuma 1 Ltd., a unit of the Videocon Group of Companies, Mumbai. OVL will own 60% of the joint vehicle, and OIL will own 40%.

A group led by Anadarko Petroleum Corp. has made large natural gas discoveries on the 2.6-million-acre block and plans a 20-million-tonne/year liquefaction plant in Cabo Delgado province (OGJ Online, Apr. 18, 2013).

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