Encouraging response from investors
Petroleum and Natural Gas Minister Dharmendra Pradhan has launched the bid round–III under Open Acreages Licensing Policy (OALP) on 10 Feb 2019, inviting investors to be part of the Indian growth story.
Twenty-three blocks, covering over 31,000 sq km, are available for exploration under the bid round. This follows the contract signing of 55 Blocks under OALP Bid Round-I.
The Government launched OALP Bid Round-II on 7 Jan 2019 offering 14 Blocks under Petroleum Operation Contract for International Competitive Bidding.
With the launch of the third bidding round, more than 120,000 sq km of area has now been made available for exploration in last one year.
The OALP adopts all features of HELP – reduced royalty rates, no Oil Cess, uniform licensing system, marketing and pricing freedom, Revenue Sharing Model, Exploration rights on all retained area for full contract life etc.
Speaking on the occasion, Pradhan said: “The 2nd Bid Rounds for both Discovered Small Field Policy and Open Acreages Licensing Policy have seen encouraging response from investors.”
The overwhelming participation from investors is a testimony to their faith and confidence in India’s upstream sector potential, said the Minister, inviting investors to participate in the bidding round and be a part of the Indian growth story.
The Ministry has recently awarded 55 blocks spread across 10 sedimentary basins under maiden Bid Round after a gap of 6 years and 30 contract areas under the Discovered Small Field Policy Bid Round-I. fiinews.com