Cabinet clears extension of pre-Nelp blocks, including Cairn India's Barmer

Barmer block has Cairn India and ONGC as its partners

The Union Cabinet today approved a policy to grant extension to the production sharing contracts (PSC) for pre-NELP (New Exploration Licensing Policy) exploratory blocks, giving a major boost to Cairn India and other major producers.  

The move is likely to attract an additional investment of more than $5430 million in these blocks. Interestingly, the Government share of profit petroleum during the extended period of contract would be 10% higher for these fields, thus bringing additional revenues to government.

The Barmer block in Rajastan has Cairn India and state-run Oil and Natural Gas Corporation (ONGC) as its partners and the