NELP-VIII contracts reach PMO

Vol 13, PW 19 (11 Mar 10) News in Brief
     

Provisional winners of NELP-VIII oil and gas blocks can expect to sign PSCs by next month (April).

PETROWATCH learns that on March 8, the oil ministry sent 35 PSCs to the Cabinet Committee on Economic Affairs for approval. “The PSC for one block was not sent,â€‌ reports a source.

Industry sources tell us the ministry was unhappy with the net worth criteria of Jubilant Energy subsidiary companies that submitted bids for onshore blocks AA-ONN-2009/1 and AA-ONN-2009/2. “The oil ministry referred the case to the law ministry in January,â€‌ we hear.

“The law ministry sent back its opinion around February 20 but cleared the award of only one of the two blocks to Jubilant.â€‌ DGH sources tell us the ministry has not yet fixed a date for the PSC signing but that it “certainly won’t be this month (March).

â€‌ Separately, the oil ministry is still waiting for the law ministry’s opinion on seven bids submitted by Deep Industries for CBM-IV blocks. Last October the DGH received bids for 36 out of 70 NELP-VIII exploration blocks and seven of ten CBM-IV blocks.

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