HOEC to buy Hardy's India assets for USD 1.5 mn

Hindustan Oil Exploration Company (HOEC) has agreed to buy India assets of Harty Oil and Gas for USD 1.5 million (approximately Rs 10.3 crore).

"HOEC has entered into a conditional agreement with Hardy Oil and Gas, subject to their shareholders' and other approvals, to acquire the entire share capital of HEPI [Hardy Exploration & Production (India)]," HOEC said in a regulatory filing Tuesday without giving any further details.

Hardy, however, in a statement said it has entered into a conditional share purchase agreement (SPA) to sell HEPI to HOEC for USD 1.5 million in cash.

HEPI holds interest in three oil and gas blocks in India - 75 per cent stake in CY-0S/2 and 18 per cent in PY-3 in Cauvery basin offshore from Pondicherry and a 10 per cent stake in Reliance Industries-operated GS-01 block off the west coast.

Hardy said the company and HEPI had "faced significant challenges in respect of the (three) assets, including protracted litigation with the government of India and disputes with partners."