Last date to bid for oil and gas blocks delayed one month until April 16
NEW DELHI: The government has delayed the last bidding date for the 11 offered in the fifth round of bids for a month until April 16, DGH said Monday.
The fifth bidding round under the Open Acreage Licensing Policy (OALP) opened in January and was due to close on March 18.
The closing date of the tender for the India - V OALP Bidding Round is now April 16, 2020, the General Directorate of Hydrocarbons (DGH) said in a tweet.
He gave no reasons for the postponement.
So far, the government has awarded 94 blocks in the last two and a half years. These 94 blocks cover an exploratory area of approximately 1.36,800 square kilometers in 16 Indian sedimentary basins.
According to the DGH, in the last bidding round, about 19,800 square kilometers of area are offered to bid.
In the last round of bids, only eight bids were submitted for seven blocks on offer. State-owned (ONGC) went with the seven hydrocarbons and on offer.
OALP-IV was the first round in renewed terms approved in February 2019. Unlike previous rounds in which blocks were granted to companies that offered a maximum share of oil and gas to the government, blocks are now granted in category basins II and III small or unexplored. to companies, which offer to do the maximum exploration program.
The 11 blocks under OALP Round-V are distributed in 8 sedimentary basins and include eight in land blocks (six in the category I basin and one in the category II and III basins), two shallow water blocks (one in category I and II (basins) and an ultra-deep water block (category I).
At the time of the launch of OALP-V, the DGH had stated that the round is expected to generate an immediate exploration work commitment of around $ 400-450 million.
An area of 1.36,800 square kilometers has already been granted in the Bid Round I, II, III and IV OALP. These OALP Bid Round-V blocks would add an additional 19,800 square km. India's total exploration area would increase to 2, 36,600 square kilometers, he had said at the time.
Under OALP, companies are allowed to create areas in which they want to explore oil and gas. Companies can express their interest in any area throughout the year, but such interests accrue three times in a year. Wanted areas are auctioned.
The fifth EoI presentation cycle closed on November 30, 2019, followed by the sixth cycle that began on December 1, 2019 and will last until March 31, 2020. The seventh cycle will follow from April 1, 2020, until July 31, 2020.
Of the 94 blocks awarded in the first four rounds of OALP, Vedanta has won the maximum at 51. Oil India Ltd has 21 blocks and another ONGC 17.
According to the DGH, the 11 blocks in OALP-V are based on expressions of interest received during EoI Window-V from May 16, 2019 to November 30, 2019.