(FE)
State-owned Oil and Natural Gas Corp’s overseas subsidiary, ONGC Videsh, is expected to finalise the acquisition of a 0.615% participating interest in the offshore Azeri Chirag Gunashli (ACG) oil field in Azerbaijan from Equinor within the next two months, according to company officials.
The company had earlier signed a definitive sale purchase agreement for increasing its participating interest in the ACG oil field in the country from Equinor. The agreement also included the acquisition of a 0.73% share of the Baku Tbilisi Ceyhan (BTC) pipeline company through its wholly-owned subsidiary ONGC BTC. OVL expects that an increase in the stake in the ACG oil field will add to the company’s overseas crude oil production.
“We are increasing our stake in the ACG field in Azerbaijan by a smaller amount. The outgoing capex is not much but it will add to our production,” the company’s MD Rajarshi Gupta told FE. “It is under assessment and in another two months we should hear something,” he said. The total investment for these acquisitions would be around $60 million and are in addition to the company’s existing 2.31% participating interest in the ACG field and 2.36% shareholding in the BTC pipeline.
