Comments
The Cabinet Committee on Economic Affairs (CCEA) on Thursday gave its nod to $5.1-billion worth acquisitions of ONGC Videsh Ltd (OVL) in Mozambique.
Two deals
This comprises two deals — buying 10 per cent stake from US-based Anadarko Corp’s in a Mozambique gas field for $2.6 billion and acquisition of 10 per cent stake from Videocon Industries for about $2.4 billion.
On August 24, OVL signed definitive agreements with Anadarko Moçambique Area 1 Limitada to acquire a direct 10 per cent participating interest in the Rovuma Area 1 Offshore Block in Mozambique. This marked OVL’s fourth acquisition this year.
This acquisition of an additional 10 per cent interest follows the earlier announcement of a joint acquisition with Oil India of an indirect 10 per cent interest in block from Videocon Mauritius Energy Ltd. BPRL Ventures Mozambique B.V., another Indian PSU, already holds a 10 per cent interest in Area 1.
OVL plans to borrow $4 billion to fund its back-to-back acquisitions of stakes in a giant Mozambique gas field.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.