The selected bidder is expected to spend $16-18 billion for development of the block over a 15-year period which is the estimated life of the field.
In April 2009, RIL, ONGC and BG Group Plc have announced that they will jointly bid for the Venezuela asset.
Petroleos de Venezuela SA (PDVSA) has invited bids for three oil blocks in the Orinoco Belt. As per the tender, the winning bidder will be given 40% interest in the field, rest 60% with be with PDVSA.
ONGC chairman, RS Sharma said “We are evaluating various options. However, I can’t comment on any specific transaction”.
If ONGC wins this bid, it will help the company raise oil production from its fields as it is investing billion of dollars to maintain its ageing fields in India.
