ONGC Videsh (OVL) signed an agreement to pick up to 50 per cent stake in Petro Vietnam´s (PVEP) two exploration blocks in the South China Sea. OVL will take 40 per cent stake in Block 102/10 and 50 per cent in 106/10 that lie outside the sea territory claimed by China. PetroVietnam will take half of OVL´s 100 per cent stake in Block 128 in South China Sea which the Indian firm had earlier planned to exit.
The Heads of Agreement (HOA) was signed by Narendra K Verma, Managing Director, OVL, and Dr Do Van Khanh, President and CEO, PVEP. ONGC also signed a Memorandum of Understanding (MoU) with PVEP for ¨mutual cooperation for exploration in the NELP Blocks of ONGC in Andaman and Cauvery Basins, subject to due diligence and negotiations on terms of participation¨.