ONGC''s Iran Block Likely To Be LNG Source

ONGC, which has been trying to join hands liquefied natural gas (LNG) contracts for its proposed Mangalore LNG terminal, is confident of getting gas from its abroad investment arm ONGC Videsh Ltd''s (OVL) Farsi block in Iran. The company has been trying to get LNG supplies before building a terminal with a capacity of five million tonnes a year to be expanded to 10 mt at Mangalore. The field is hoped to begin producing in the next three years, and efforts are on to bring the gas either directly or indirectly to India. Meanwhile, they are also eyeing at Oman and Australia for getting LNG for the proposed terminal.

ONGC Inks Performance Deal With OVL

New Delhi: ONGC has inked a performance contract for 2008-09 with ONGC Videsh Ltd (OVL). ONGC will be inking the annual memorandum of understanding for 2008-09 with the Government of India on March 26. Last week ONGC had inked the performance contract with MRPL (Mangalore Refinery and Petrochemicals Ltd) and on March 24 signed the contract with OVL. The weightage given to OVL when the first performance contract was inked for 2006-07 was 1 per cent in the ONGC and the nodal ministry MoU. Today it has increased to 6 per cent for 2008-09 indicating the increasing focus and the importance of OVL. While the assessment of OVL two years ago was only on financial perspectives, this year it includes a new parameter Project Implementation, linking OVL''s achievements in project implementation.