Austro-Indian group bags Timor Sea oil block

NEW DELHI: Australia’s Oilex NL-led consortium, including Videocon Industries as well as Bharat Petroleum (BPCL) and Gujarat State Petroleum Corporation (GSPC), has been awarded oil exploration block 103 in Timor Sea. The waters are jointly administered by East Timor and Australia.

“The Timor Sea Designated Authority has announced the award of Block 103 located in the northern part of the joint petroleum development area to a group of four companies led by Oilex, subject to signing a production sharing contract,” an Oilex statement said on Thursday. Contracts for the new permits are to be signed by September 30.

All the consortium partners will hold a 25% stake each in the exploration block located east of the Laminaria, Corallina, Kakatua, Kuda Tasi and Elang discovered oil and gas fields and north of the Bayu-Undan gas condensate field.

“This award completes another element of the company’s stated strategy of acquiring high quality exploration acreage in countries around the Indian Ocean rim in joint venture with its Indian alliance members,” BH McCarthy, managing director of Oilex, said.

The Timor Sea Designated Authority had received eight bids for the four permits on offer in its inaugural release of exploration acreage in the area, which lies to the north of Australia and south of East Timor. Malaysia’s Petroliam Nasional Bhd (Petronas) led consortium, comprising Korea Gas Corporation, Samsung Corporation and LG International Corporation, has won one permit while the other successful bidders are Minza Oil and Zetex NV.