ONGC India Eyes Offshore Acquisition
By Arnab Ghosh, Gaea News NetworkFriday, April 9, 2010
MUMBAI, INDIA (GaeaTimes.com)- ONGC India which is the largest energy explorer of the country is eyeing oil sand assets in the shores of Canada. However, the discussions are still in preliminary stage as it has been found. The experts in ONGC are of the opinion that if the region turns out to be rich in resources close to 10,000 barrels of heavy oil can be obtained per day. It will be worth $1 billion. As a matter of fact, the Indian oil companies are trying to acquire offshore oil resources to cope up with the increasing demand for fuel and natural gases. China is a country which is giving stiff competition to the Indian oil entities and it reportedly spent an amount of $32 billion the previous year to buy overseas energy resources.
The move syncs with the global strategy followed by ONGC. Canada is thought to have huge amounts of natural gas and oil resources. The overseas operations of ONGC India are generally handled by ONGC Videsh. Last year ONGC acquired Imperial Energy after churning out a mammoth 1.4 billion which is its biggest acquisition so far.
In recent times ONGC India received Emission reduction certificates for a Mumbai High fields based waste heat recovery project from the UN. The company is confident that it will be able to generate profits from its carbon emission reduction projects. The entity said that it is eyeing a profit of more than Rs 14,000 crore in the fiscal year 2010-11. It also signed up a deal with Petroleum Ministry to reach a target of 27 million tonnes oil production.
