CCEA clears OVL's additional 149.46 million US$ investment in Vietnam
merisarkar news service.
New Delhi, October 02, 2009
The cabinet committee on economic affairs on Thursday authorized ONGC Videsh Limited (OVL) to make an additional project investment of USD 149.46 million. It would be used for further development and exploration of Block 06.1 Project in Vietnam.
OVL would arrange the fund from the revenue proceeds of the Project without any funding from the government.
In the event of any cost overrun beyond the above amount the company will have to bring a fresh proposal to the ECS (empowered committee of secretaries).
ONGC Videsh Limited is a wholly owned subsidiary of ONGC and it has a 45% participating interest (P1) in a gas producing shallow water offshore block 06.1 under a production sharing contract with Petro Vietnam (PVN). The national oil company of Vietnam (NOC) has 20 BP Exploration Vietnam Ltd has 35% Participating interest.
