Minister Puri assures full support to investors
Seventy-five hydrocarbon discoveries across 32 Contract areas in 11 basins and locations with approximately 232 MMTOE of oil and oil equivalent gas are being offered under the Discovered Small Field (DSF) Bid Round-III, which was launched by Minister of Petroleum and Natural Gas Hardeep Singh Puri on 30 July 2021.
In his keynote address at the “Investors’ Meet: Opportunities under DSF and HELP”, Puri said India’s per capita consumption, which is one-third of global energy, is poised to grow as the urbanization increases, economic activities speed up and demand for energy goes up. “Oil and gas would continue to play a critical role in meeting our energy requirements.”
He pointed out that for the investors, the offer of hydrocarbon exploitation is a win-win situation, as there is no doubt about the demand. The Government is ready to partner with the investors, and take remedial steps to overcome the hurdles. He said that cross-sectoral national issues are dealt through “Whole-of-the-Government” approach.
The Minister assured full support to the investors and backing of the system. India has conducive environment for the investors, rule of law and democracy, facilitating the investors to take commercially sound decision, he highlighted.
The Government has created an investor-friendly ecosystem, by continuously ushering policy reforms and projects that have the potential to transform the landscape of the sector. Some of these are: successful roll out of the HELP and OALP, opening up of entire sedimentary basin area to investors and the National Seismic Programme.
Following the DSF Round-III, tenders for OALP bid Round-VI and CBM will be coming out soon.
The salient features of DSF policy are: Revenue Sharing Model, Single License for Conventional & Unconventional Hydrocarbons, No upfront signature bonus, Reduced Royalty rate in line with HELP, no cess, Full marketing and Pricing freedom for gas produced, Exploration allowed during entire contract period, and 100% participation from foreign companies and joint ventures.
In the earlier two rounds, 54 contracts were awarded to 27 companies including 12 new entrants. #investment #energy #exploitation #OPEC #projects #tenders /fiinews.com
