India to offer city gas project for Syria

New Delhi, Apr 17 (UNI) The government today said public sector company Gas Authority of India Ltd (GAIL) would offer expertise in developing city gas projects in Syria while oil refinery major ONGC are looking for downstream ventures in north African countries of Algeria and Egypt.

The move coincides with Petroleum and Natural Gas Minister Murli Deora seven day visit to these three oil and gas rich countries of Syria, Algeria and Egypt where India is expanding cooperation in the oil and gas sector.

The visit would be utilised for creating positive atmosphere for Indian E&P companies to pursue opportunities in the next round of bidding for blocks by the Algerian Minister of Energy and Mines.

ONGC Videsh LTd OVL proposes to jointly bid with the Algerian National Oil Company, Sonatrach for which OVL has an MoU in place with Sonatrach along with one for jointly bidding with Iraq. OIL and GAIL are also pursuing E&P opportunity in Algeria.

In the down stream sector, possibilities of securing Liquefied Natural Gas (LNG) supplies for Petronet LNG, GAIL and IOC would be explored besides IOC's interests in gas-based petrochemical projects. Opportunities for Indian Oil PSUs in city Gas distribution Projects would also be taken up during the visit.

In the final leg of Mr Deora's visit, the delegation would arrive at Cairo on April 22. The Ministerial meeting will be co-chaired by Mr Deora and his counterpart Engineer Amin Sameh Samir Fahmy, Minister of Petroleum of Egypt. Mr Deora is also expected to call on the Prime Minister of Egypt Dr Ahmed Mahmoud Mohamed Nazif besides meeting with Minister of Trade and Industry Mr Rashid Mohammed Rashid.

In Egypt too the opportunities in E&P sector including possibilities of farm-in arrangements will be examined. Indian Oil's proposal for participation in crude pipeline project from Mediterranean to Red Sea coast would be discussed for encouraging oil flow to Asia by-passing Suez Canal.

The company is also interested in petrochemical projects in Egypt.

The delegation also proposes to take up LNG sourcing alongwith GAIL's equity participation in liquefaction facilities in Egypt.

Besides pursuing projects and areas of cooperation in E&P and other downstream areas of hydrocarbons sector, Indian delegation would showcase their expertise and willingness of providing training to the oil and gas personnel of these countries. Indian Oil PSUs have capability and facilities to provide state of art training in the entire hydrocarbon value chain.

Other members accompanying Mr Deora are, Petroleum Secretary M S Srinivasan, CMD ONGC R S Sharma, IOC Chairman S Behuria, GAIL CMD Dr U D Choubey and EIL CMD M Rohatagi.

In the first leg of his visit, Mr Deora will be reaching Damascus, Syria tomorrow afternoon and would lead the Indian delegation during official meeting with his counterpart Minister of Oil&Natural Resources Soufian Allaw.

He is expected to call on the President of Republic of Syria besides meeting the Deputy Prime Minister for Economic Affairs.

In addition to the ONGC holding interests in two properties (OVL's 60 per cent in Exploration Block XXIV and ONGC's 33 per cent jointly with CNPCI in a producing field), Indian companies would be looking at the possibility of utilising next round of bidding for exploration blocks in 2007.

In the downstream area, EIL is interested in examining revamping jobs of Hayan and Banias refinery. Indian oil's proposal for construction of 6.5 MMTPA refinery at Deir Ez Zor is likely to be discussed.

The delegation would arrive in Algeria on April 20. A delegation level talk will be co-chaired by Mr Deora and his counterpart Mr Chakib Khelil, Minister of Energy and Mining of Algeria next day.

The agreed minute of the meeting is likely to be signed by the two Ministers on April 22. Mr Deora is also expected to call on the President of Algeria.

UNI