Nigeria considers IOC's investment plans
By TNN |
Highlights
NEW DELHI: Nigeria has welcomed investment proposals of Indian Oil (IOC) in downstream particularly for setting up refinery projects in the country. A new grass root refinery or a brownfield refinery through buying part of Nigerian government stake in existing plant could be possible options.
Some of the leading global companies are at initial discussions for promoting new LNG projects. IOC may like to pursue as a partner with them, Nigerian minister of energy Edmund Daukoru said.
Referring to the enhancement of term contract crude oil supplies, Dr Daukoru informed petroleum minister Murli Deora that Nigeria is in the process of enhancing crude oil production which will offer an opportunity for increasing the term contract supplies to IOC.
He also told Indian minister that the Nigeria could consider according exemptions for awarding exploration blocks to another national oil companies' group on the pattern of their decisions in the case of Chinese National Oil Company, Korean National Oil Company and OMEL. Speaking to media persons he said that Nigeria is keen for investments by Indian companies in downstream oil projects like refineries, gas pipelines infrastructure, fertilizer plants, power projects and LNG projects.
Mr Deora held wide ranging discussions with Nigerian oil minister and minister of state for energy and mines of Sudan, Ms Angelina Tany. The talks focused on taking forward cooperation between India and these countries in the oil and gas sector. Both Dr Daukoru and Ms Tany are here to participate in Petrotech-2007 leading their respective delegations.
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In his meeting with the visiting Nigerian minister Mr Deora recalled long standing friendly relations between India and Nigeria and the growing economic ties particularly in the oil and gas sector. India conveyed the interest of IOC in setting up a grass root refinery in Nigeria along with increasing the quantity of crude oil import under term contract from present two million tonnes per annum to initially three million tonnes. IOC is also interested in taking up Liquefied Natural Gas (LNG) projects in Nigeria. The Indian side also conveyed the interest of national oil companies in taking up E&P projects. The consortium of Oil India and IOC had participated in the last round of bidding for exploration of blocks in 2005. The joint venture of ONGC and Mittal Group(OMEL) was awarded two blocks in 2005.In his meeting with the Sudanese minister Ms Tany, Mr Deora conveyed India's desire to further accelerate cooperation in hydrocarbon sector. Indian companies like ONGC could partner with Sudan in carrying out speculative surveys and mapping for establishing hydrocarbon potential in the country. The two Ministers also reviewed the progress with satisfaction in the existing projects like Greater Nile Oil Project (GNOP) being undertaken in Sudan by ONGC including the community development projects.
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