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India's ONGC would cooperate with MOL in third countries

ONGC, India's largest state-owned oil company, is seeking ways to expand cooperation with Hungarian oil and gas company MOL to jointly pursue exploration and production opportunities in third countries, India's The Economic Times (ET) reported on Monday.

According to ONGC plans, the two companies could consider joint bids for oil and gas blocks coming on the market in central and Eastern Europe, CIS countries and the Middle East.

MOL signed an agreement to acquire a 35% interest in a block in India operated by ONGC in 2008. The contract requires approval by the Indian government to go ahead.

Details of expanding the scope of the present partnership between the two companies were discussed during a recent visit of an Indian business delegation to Hungary, ET reported.

A MOL official told ET in Budapest that the company would take a decision to expand its partnership with ONGC after completing its investments in the Himachal Pradesh block.

The cooperation would make sense for ONGC as it would help it access to opportunities in Central and Eastern Europe where it has limited presence, ET said adding that ONGC could also hope to participate in MOL's operational ventures in countries like Kazakhstan, Russia, Yemen, Angola, Egypt and Syria. (MTI-Econews)