(MENAFN- Iraq Business News)
By John Lee.
A report from Telegraph India suggests that ONGC Videsh Ltd (ONV) is considering resuming operations in Iraq.
The company received the rights to Block 20 in the Western Desert (then known as "Block 8") in 2000, but declared force majeur in 2003 due to the security situation at that time.
According to ONGC's most recent annual report:
"Your Company was the sole licensee of Block-8 (now Block 20), a large on-land exploration Block in Western Desert, Iraq spread over 10,600 Sq. Km. The Exploration & Development Contract (EDC) for the Block was signed on 28.11.2000. The contract was ratified by the Government of Iraq on 22.04.2001 and was effective from 15.05.2001. Since then, the work relating to archival, reprocessing and interpretation of the existing seismic data has been completed. However, your Company had to notify the FM [force majeur] situation to the Ministry of Oil, Iraq in April, 2003 due to prevailing conditions in Iraq. In 2008, your Company was informed that Government of Iraq had decided to re-negotiate the Block-8 contract in-line with the provisions of the new oil and gas law which was expected to be promulgated soon.
"In 2018, Government of Iraq has adopted a new Business Model. A communication was received from Ministry of Petroleum & Natural Gas (MOPNG) on 02.12.2021 for engaging with the Production and Licensing Division (PCLD) of the Ministry of Oil, Iraq regarding resumption of exploration work in the Block. Your Company has requested PCLD for the meeting. The response from PCLD is awaited."
(Sources: telegraph india , ONGC)
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