India, Angola agree to fast-track oil cooperation

Union minister for petroleum and natural gas Murli Deora and his Angolan counterpart Jose Maria Botelho de Vasconcelos on Sunday agreed to sign a memorium of understanding (MoU) that will speed up cooperation between the two countries in the hydrocarbon sector.

Apart from an increase in crude oil supplies on term contracts from Angola, India also evinced interest in exploring oil and gas in the African nation, which the Angolan minister agreed to consider, a statement released by the petroleum and natural gas ministry said.

''The Indian side also expressed its interest in pursuing investments in the upstream projects,'' the statement said. It stated that public sector companies, led by ONGC Videsh Ltd (OVL), are looking forward to the forthcoming round of exploration blocks, along with bilateral projects. Indian Oil Corporation is also exploring the possibility of participating in refinery projects, the statement added.

India is also keen to source liquefied natural gas (LNG) from Angola, which is setting up a 5.2 million tonne a year LNG facility. The statement said GAIL and Petronet LNG Ltd would hold discussions with Angolan companies to explore possibilities. India has also offered training facilities to the oil personnel of Angola.

After the bilateral meeting, Deora inaugurated the 2010 Petrotech Exhibition, showcasing the latest technology of both Indian and international oil and gas companies. The minister was accompanied by minister of state for petroleum Jitin Prasad, oil secretary S Sundereshan, and visiting ministers from Angola and Sudan.

Deora said on the sidelines of the exhibition that the government, which was aggressively pushing for exploration of conventional oil and gas, had taken steps to tap shale gas to reduce the country's import dependence.