Reports indicate that the bidding for the stake sale of Videocon and the US-based Anadarko Petroleum in a Mozambique gas field was closed recently.
Both the companies intend to sell 10 percent stake each in the gas field and several international firms are learnt to have shown interest in the stake.
From India, a consortium of ONGC Videsh (OVL) and Oil India (OIL) has reportedly offered up to $5 billion to buy the combined 20 per cent stake. The outcome of the auction is awaited.
Anadarko currently has 36.5 per cent stake, while JapanÂ’s Mitsui & Co, with 20 per cent, is the second-biggest. State-owned refiner BPCL already owns 10 per cent in the company.
OVL has been looking out for oil and gas assets abroad in order to increase its energy production. It may be recalled that last year the firm agreed to pay $5 billion for ConocoPhillipsÂ’s 8.4 per cent stake in a Kazakhstan oilfield.
The Kashagan field, located in the shallow waters of the Kazakh North Caspian Sea, is the worldÂ’s largest development project. The buy is likely to be completed by the first half of 2013. Output would start from mid-2013.
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