India’s biggest oil and gas bidding round has drawn attention from key industry players, including state-owned ONGC, Oil India Ltd (OIL), and private companies like Vedanta Ltd and the Reliance-bp consortium. The Open Acreage Licensing Policy (OALP-IX) round offered 28 blocks, covering an expansive 136,596 square kilometers for oil and gas exploration. Interestingly, Reliance-bp teamed up with ONGC for the first time to bid for an offshore block in Gujarat, marking a significant collaboration between these industry giants.
Mining magnate Anil Agarwal’s Vedanta Ltd also made waves by bidding on all 28 blocks on offer, while Sun Petrochemicals Ltd submitted bids for seven areas. Of the blocks offered, four received three bids each, while the remainder saw two bidders, including Vedanta Ltd as a constant contender.
This round of bidding marks a continuation of the OALP initiative introduced by the Indian government in 2017 to boost exploration and production in the upstream sector. The policy promises marketing and pricing freedom for companies and operates under a revenue-sharing model, further enhanced by reduced royalty rates.
The previous OALP-VIII round saw ONGC dominate, winning seven of the ten blocks offered, while Reliance-bp and Sun Petrochemicals secured one block each. In total, over 144 exploration and production blocks, covering more than 240,000 square kilometers, have been awarded under the OALP initiative.
The collaboration between Reliance and bp, partners in the deepwater Krishna Godavari basin, continues to be significant in India’s energy landscape. Their KG-D6 block currently produces around 30 million standard cubic meters of natural gas daily, contributing to the country’s energy security and development goals.
This latest round of bidding underscores the growing importance of collaboration between state-owned and private entities in driving India’s energy exploration and production efforts.
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