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RIL gets two offshore blocks in Myanmar

Both blocks located offshore in Moattama basin of Myanmar in water depths up to 3,000 ft and encompass an area of 27,600 sq kms

BS Reporter  |  Mumbai 

After trimming its international oil & gas portfolio in the past few years, Reliance Industries (RIL) has again begun expanding. In Myanmar’s offshore block bidding round 2013, the company has been awarded two offshore blocks, M17&18.

Both are in the nation’s Moattama basin, at depths of up to 3,000 ft. Together, these encompassed 27,600 sq km, RIL said. In the bidding round, 36 global exploration and production had given 64 proposals for the 30 offshore blocks on offer. RIL had bid for three.

Through an auction that began in April 2013, Myanmar has awarded 10 shallow-water oil and gas exploration blocks and 10 deepwater blocks.

For the M17&18 blocks, RIL or its affiliates will sign production-sharing contracts that allow for initial preparation and study periods, before committing to phase-I of the exploration period.

RIL said the “participation is in line with its strategy of portfolio rationalisation by expanding its international asset base and investing in regimes having attractive internationally competitive terms on offer. The company hopes to leverage its organisational capabilities and expertise to create value for the exploration and production segment”.

RIL, which till 2009 had 14 foreign oil & gas blocks, has cut the number to four — two in Yemen (exploratory fields) and two in Peru.

Between 2012 and 2013, RIL has trimmed its international oil & gas portfolio by relinquishing or selling blocks. Earlier, the company held a block in Australia and two in Colombia. In 2012, RIL sold the Rovi and Sarta blocks in the Kurdistan region to Chevron Corporation subsidiaries.

First Published: Thu, March 27 2014. 00:49 IST