India reached out to UK-based investors with a roadshow in London in a bid to attract international public-private partnerships (PPP) into the country’s growing crude oil and gas sector.
India’s Ministry of Petroleum and Natural Gas and the Directorate General of Hydrocarbon (DGH), organised an interactive session on Monday (29) which succeeded to attract around 125 participants.
The event was focused on sharing the latest policy and regulatory regime in India and detailed information on vast investment possibilities in the crude oil and natural gas exploration and production sector in the country.
Manish Singh, minister (Economic) at the High Commission of India in London, launched the investment promotional programme for Exploration and Production Opportunities. An overview of the Indian taxation system was also narrated by KPMG as the knowledge partners.
Under India’s first phase of strategic petroleum reserve (SPR), Indian Strategic Petroleum Reserves Limited (ISPRL) noted that in a major achievement it has created 5.33 million metric tonnes (MMT) of crude oil inventory storage facilities in underground mined rock caverns at three separate regions in the country, Visakhapatnam (1.33 MMT), Mangaluru (1.5 MMT), and Padur (2.5 MMT).
According to the integrated energy policy of the Indian government, which asks for three months crude oil reserves, India’s cabinet accorded ‘in principle’ approval for the second phase of SPR programme, which consists the formation of extra 6.5 MMT of storage inventory facilities at Chandikhol, Odisha (4.0 MMT), and Padur-II, Karnataka (2.5 MMT).
“In order to explore feasibility of commercialisation of the Phase I SPR at Padur (2.5 MMT) and the planned Phase II SPRs at Chandikhol, Odisha (4.0 MMT) and Padur II, Karnataka (2.5 MMT), it is planned to solicit investment partners and pursue the initiatives of Phase II SPRs through PPP mode of implementation for construction, filling, and operation respectively and also filling and operation of the existing Phase I SPR at Padur,” a statement from ISPR said.
Demand for petroleum products in India is rising at an increasing rate and the primary energy demand for energy in the country is expected to double in the next 12 years. The latest roadshow in the UK is a call to involve global partners in the journey, said HPS Ahuja, CEO and Managing Director of Indian Strategic Petroleum Reserves Limited (ISPR).
In early 2018, India’s Petroleum and Natural Gas Minister Dharmendra Pradhan started Bid Round II under Discovered Small Field Policy (DSF) and Open Acreage Licensing Policy (OALP) for competitive bidding.
According to the ministry, under OALP bid round II, 14 blocks will be provided with an aggregate area of 29233 square kilometre and under DSF Bid Round II, 25 contract areas are on offer including 59 discovered crude oil and gas fields covering an area of over 3000 square kilometre.