ONGC Mittal Energy Ltd (OMEL), a joint venture between ONGC Videsh Ltd (OVL) and Mittal Investment Sarl (MIS), has acquired 30% participating interest (PI) in exploratory Block 11-12, offshore Turkmenistan in the Caspian Sea.
Covering 5,663 sq km, the block is located close to the discovered and producing fields, and contains a number of prospects with significant reserve potential. Discoveries have been made in adjoining areas such as Ashrafi and Karabakh.
The block was earlier awarded by the Turkmenistan government to Maersk Oil in December, 2002. The consortium now comprises of OMEL with 30% participating interest, Germany?s Wintershall with 34% PI and Denmark?s Maersk Oil with 36% PI. Earlier, Wintershall and Maersk had acquired seismic data and drilled one exploratory well in the block. The well had provided indications of hydrocarbons. Another well was planned to be drilled by the new consortium during 2008, said a statement from ONGC.
Turkmenistan block is the fourth asset of OMEL. OMEL had earlier acquired interest in a producing asset in Syria, currently producing about 130,000 barrels per day of oil. OMEL was also awarded two highly prospective blocks in Nigerian deepwater ? OPL 279, in which OMEL has 40% PI and OPL 285 in which OMEL has 60% PI. The other partners are French oil major Total and Nigeria?s EMO.
OMEL is pursuing hydrocarbon assets in certain other countries also, some of which are in an advanced stage of negotiations. OMEL?s constituent Mittal Investment Sarl (MIS) is owned by Mittal.
?Both the promoter groups expressed satisfaction at the evolving growth of OMEL and stated that the investment in Turkmenistan shall open up in new opportunities for growth of OMEL in this hydrocarbon rich country,? the statement added.
ONGC Videsh Ltd (OVL) chairman R S Sharma said OVL was the growth vehicle of the ONGC group and this exploration block in Turkmenistan was a significant milestone in that growth path.