ONGC seeks oil interests in Venezuela

ONGC Videsh Ltd. (OVL), the overseas investment subsidiary of India's state-owned Oil & Natural Gas Corp. (ONGC), is approaching Latin American countries such as Venezuela for oil and gas opportunities.

Aug. 15, 2006

Shirish Nadkarni
OGJ Correspondent

MUMBAI, Aug. 15 -- ONGC Videsh Ltd. (OVL), the overseas investment subsidiary of India's state-owned Oil & Natural Gas Corp. (ONGC), is approaching Latin American countries such as Venezuela for oil and gas opportunities.

A partnership between ONGC and state oil company Petroleos de Venezuela SA is expected shortly.

ONGC and PDVSA held an in-depth meeting in New Delhi last week to discuss mutual energy cooperation; indications are that OVL may seek exploration opportunities in Venezuela jointly with other international oil and gas companies.

PDVSA's high-level delegation, led by company Vice-Pres. Luis Vierma Perez, discussed business opportunities OVL is pursuing in Venezuela.

Venezuelan delegates proposed that ONGC buy Venezuelan crude on a long-term basis.

Both sides agreed to establish a group to study energy collaboration.

ONGC is one of the few multinational companies invited by the Venezuelan government to participate in a reserves assessment in the Orinoco heavy oil belt (OGJ, Nov. 21, 2005, p. 54).