India eyes oil exploration in Angola and proposes joint venture with Sonangol

12 May 2006

New Delhi, India, 12 May – The Indian government has proposed the creation of a joint venture with Angolan state oil company Sonangol for oil exploration in Angola and other countries, English-language newspaper The India Times reported Thursday.

The proposal was put forward by India’s Oil Minister, Murali Deora, to Angola’s Foreign Minister, João Bernardo de Miranda, who is heading a delegation currently in India in search of Indian investment for a number of infrastructure projects.

According to the paper, India proposed to create a joint venture between ONGC Videsh and Sonangol for oil exploration in Angola, India and other countries.

ONGC Videsh is the international subsidiary of Indian state oil company Oil and Natural Gas Corp.

The Indian company has already twice been thwarted in attempts at oil exploration in Angola, the most recent of which was this month.

India is currently competing for a stake in Angola’s oil bloc 18 having offered US$310 million for the concession as compared to the record US$1.1 billion proposal put forward by China’s Sinopec.

The result of this tender is expected to be announced this month.

An Indian delegation is due to visit Angola soon and Sonangol’s president is scheduled to visit India in September to assess cooperation opportunities. (macauhub)