OEML consortium abandons Turkmenistan exploration block

20 Jan 2010

ONGC Mittal Energy Ltd (OMEL) and its consortium partners, Germany's Wintershall and Denmark's Maersk Oil, have surrendered the Turkmenistan offshore exploration block in the Caspian Sea.

OMEL, a joint venture between ONGC Videsh Ltd and LN Mittal's Mittal Investment Sarl, had completed formalities for surrendering the two blocks

OMEL had invested about $28 million to acquire a 30-per cent stake in the offshore exploration block 11-12 in Turkmenistan, reports quoting sources said, adding that the decision to abandon the field was taken after initial prospecting turned out to be not very attractive.

Wintershall had 34 per cent stake in the Turkmenistan block and Maersk Oil had 36 per cent participating interest in the block.

OMEL also recently opted out of a gas block in Trinidad and Tobago. The Turkmenistan block is the fourth oil block acquired by OMEL overseas.

OMEL has three active blocks - one in Syria, which is a producing asset and two highly prospective blocks in Nigerian deepwater - OPL 279 and OPL 285.