Government will Offer Incentives to Companies Interested on Developing Oil and Gas Blocks
The government is expected to offer incentives to companies that propose to develop oil and gas blocks of their choice leading to a government monitored auction, according to Open Acreage Licensing Policy (OALP) draft.
Apart from encouraging companies to propose blocks for auction through the year, OALP will also keep alive the previous practice of the government to carving out blocks and offering them to investors in an auction round.
The draft policy states that, the Directorate General Hydrocarbon (DGH) will also administer, when deemed necessary, rounds of awards for blocks carved out by the DGH, for contracting in addition to the option available to investors to make suo motu applications under OALP.
Open Acreage Licensing forms a part of the Hydrocarbon Licensing Policy (HELP) which was unveiled last year.
A national data repository is maintained by the DGH that investors can access to study hydrocarbon data and determine their interest in specific blocks.
The government will accept an expression of interest from investors in two 6-monthly windows—ending in June and December – following which the interests will be evaluated.
India today reported an open acreage permitting approach for oil and gas investigation, permitting bidders to cut out zones where Read more
