Two week delay in opening GSPCآ’s KG block dataroom

Vol 10, PW 7 (27 Jul 06) People & Policy
     

Gujarat State Petroleum has put back by two weeks plans to open a dataroom in Dallas for companies that want to farm-in up to 30% of the companys eastern offshore discovery block KG-OSN-2001/3.

GSPCs original plan was to open the dataroom on 24th July at the offices of its reserves consultant Petrotel. But this has now been postponed to around 7th August.

Blame the delay on key GSPC officials who are travelling overseas first to Egypt and then to Yemen in search of exploration acreage. They will be back in India only around 28th July.

GSPC thought about opening the dataroom on 31st July, says a source. But this is unlikely because theres hardly any time left from 28th July.

Its likely the dataroom will stay open for between four and six weeks. GSPC has drawn up a tentative schedule for companies who want to view data.

Visits have been structured into six parts, each of 15 days. During each 15 day period two companies will be allowed into the dataroom to view data collected by GSPC during drilling and testing of the four wells drilled so far on the block.

If a particular company wants to view the data again, after its allotted time slot, it will get an additional three days. Only companies that submitted, indicative, non-binding bids by the 5th July deadline will be allowed to visit the dataroom.

Companies that did not submit a bid wont be allowed to join the process now, we hear. GSPC and its consultant UBS Securities have prepared a preliminary short-list of companies who will be allowed into the data room.

Only seven or eight companies are on the short-list, says a source. GSPC is keeping the names top secret and only two people in the company know their identity.

After talking to industry sources, however, PETROWATCH learns the list is likely to include some or all of the following: British Gas, Total, ENI, Shell, BP, ExxonMobil, ChevronTexaco, Statoil and Petrobras. Anadarko, BHP Billiton and Petronas did not send in bids by the 5th July deadline.

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