The Union Government has given clearance to ONGC Videsh Ltd's (OVL)
investment of about $ 400 million (approx Rs 2,000 crore) for development of the
Satpayev oil field in Kazakhstan.
An empowered committee of Secretaries has recommended to the government for
approval of OVL and its partner Lakshmi N Mittal for picking up a 25 per cent
stake in Satpayev oil block. ONGC-Mittal Energy, the equal JV of OVL and Mittal
Investment, will pay $ 26 million (approx Rs 130 crore) signing amount for the
stake in the oil field. KazMunaiGas will be the operator of the field and hold
the remaining 75 per cent stake.
The 1,582 sq km Satpayev block, situated in the Pre- Caspian Basin of
Kazakhstan, holds 1.75 billion barrels of inplace oil reserves.
Also See:
Mittal may sell
half stake of Kazakhstan block to OVL (15-Apr-09)