India gives ONGC Venezuelan nod
India's Cabinet has given the nod for state-owned Oil & Natural Gas Corporation (ONGC) to buy a 40% stake in the San Cristobal oilfield in Venezuela for $356 million.
The amount includes a signing bonus of $174 million and expected capital expenditure of $182 million in the field, in the Orinoco oil belt, a government statement said.
Venezuelan national oil company PDVSA will hold the remaining 60% through a subsidiary.
ONGC will buy the stake through its overseas investment arm ONGC Videsh (OVL), which will form a joint venture company with CVP, a subsidiary of PDVSA, to develop the oilfield.
It will be OVL's first asset in Venezuela.
The Cabinet also allowed OVL to invest $102.21 million for appraisal, development and a production sharing agreement at the Najwat Najem oilfield, off Qatar, a Reuters report said.
OVL is the operator with 100% ownership of the block.