GVK to check roadmap for oil & gas projects next week

GVK Power & Infrastructure, which has entered into oil and gas business through New Exploration Licensing Policy (NELP)-VII, will check out the road map for its oil and gas projects next week, GVK Group Chairman GVK Reddy said today.

"We have a partner [BHP-Billiton]. We have to decide jointly. We have a meeting next week. Future road map will be decided in the meeting," Reddy said.

GVK, along with Australia-based oil and gas exploration major BHP-Billiton, won the seven deepwater oil & natural gas blocks under National Exploration Licensing Policy-VII at the west coast of India in 2008.

Replying to a query, Reddy said currently research work on the project was going on in Huston, Texas.

"Work is in progress. It is a long-term project. We can't do it just like that...They [BHP-Billiton] are doing some research and development on seismic data analysis. It is in progress at Huston in US," he said.

Under NELP-VII, 34,000 km area was awarded on offshore fields of the west coast to the GVK consortium.

GVK-BHP Billiton consortium has been awarded seven deepwater blocks under the New Exploration Licensing Policy (NELP-VII). Of the seven blocks, one is located in the Kerala-Konkan region and the rest of the six deepwater blocks off Mumbai.

Identifying oil & gas as a high potential growth segment, GVK is mapping new points, finding qualified technical personnel etc to ensure growth and progress in this segment.

The major work has been planned over the next two years, which include mapping area to gather new seismic data acquisition in relation to all the seven blocks that are being explored.

GVK has estimated a capital outlay of Rs 220 crore over the next three years.

Shares of GVK Power and Infrastructure settled at Rs 17.95 on the Bombay Stock Exchange today, down 0.55% from previous close.