Defence Min objects to AP's oil-gas project in KG basin

Posted By: Religare
Subscribe to GoodReturns

The Indian defence ministry has objected two of the four blocks of Krishna-Godavari basin, jointly bagged by Oil and Natural Gas Corp. (ONGC) and Andhra Pradesh Gas Infrastructure Corporation (APGIC) in the NELP-VIII bidding due to their presence in the defence ministry's missile testing range.

As a result, the duo will have to give up its operations in KG-OSN-2009/1 and KG-OSN-2009/2 blocks, where ONGC and APGIC holds 80 per cent and 90 per cent stakes respectively, under the initiative of the Andhra Pradesh Government to foray into the oil and natural gas sector.

Fearing similar situation, the owners of the KG-DWN-2009/1 block, has approached the Directorate General of Hydrocarbons (DGH) with a request it to procure clearance from the Defence Ministry for the block, before conducting a seismic survey in it. ONGC and APGIC have 45 per cent and 10 per cent stakes, respectively in this block too.

Read more about: oil and gas, ongc, commodity, dgh
Story first published: Thursday, May 12, 2011, 12:30 [IST]
Please Wait while comments are loading...
Company Search
Enter the first few characters of the company's name or the NSE symbol or BSE code and click 'Go'