Global Business in Iran Database
In-depth metrics and analysis of Iran's international economic partnerships.
ONCG, Hinduja - Petropars, South Pars Phase 12
description
Iran and India's ONGC Videsh Ltd., the overseas investment arm of ONCG, and India's Hinduja Group, will be awarded a combined 40 percent stake in South Pars Phase 12 according the managing director of the National Iranian Petroleum Company. The total project is worth $7.5 billion. Angola's Sonangol will also recieve a 20 percent stake, while Iran's Naftiran Trading Co. will control a 40 percent stake.
Related to this deal is an agreement between Iran and India on the export of some 6 million tons of LNG to India annually. ONGC and ALPS signed a deal to take a 20 percent stake in the Iran LNG plant being constructed by Petronet LNG in the southern port of Tombak.
The ONGC Hinduja deal is now awaiting approval by the government in New Delhi.
ONGC and Hinduja are wrangling over how much of the 40 percent stake each company will control. Hinduja's London based subsidiary, Ashok Leyland Project Services has no experience with upstream production and development. ONGC seeks three-fourths of the awarded Iranian contract.
- Country: India
- Client: Petropars
- Contractor: Oil and Natural Gas Corp Videsh (ONGC) - Hinduja Group Consortium
Status
- Current Status:
- Discussion Date: Thu, 2009-11-26
- Contract Date:
- Completion Date:
Citation
1. "ONGC to Meet Iran Oil Officials Seeking Opportunities", Bloomberg, 26 November 2009, available at http://www.bloomberg.com/apps/news?pid=20601091&sid=a74e_KvUu72c.
2. "Iran, India to launch new round of energy talks", Tehran Times, 30 November 2009, available at http://www.tehrantimes.com/index_View.asp?code=208955.
3. "ONGC, partners to invest USD 10 bn in Iran projects", Economic Times, 2 December 2009, available at http://economictimes.indiatimes.com/Oil-Gas/ONGC-partners-to-invest-USD-....
4. "India proposes to invest $6.5 billion in Iran gas fields", Economic Times, 30 November 2009, available at India proposes to invest $6.5 billion in Iran gas fields.
5. "ONGC moves on with South Pars Plan", Upstream Online, 21 January 2010, available at http://www.upstreamonline.com/live/article204007.ece.
6. "INDIA'S ONGC, HINDUJA GROUP AT LOGGERHEADS OVER IRAN GAS FIELD STAKE", Trading Markets, 25 January 2010, available at http://www.tradingmarkets.com/news/stock-alert/asqkf_india-s-ongc-hinduj....
