ID :
20789
Tue, 09/23/2008 - 17:55
Auther :
Shortlink :
http://m.oananews.org//node/20789
The shortlink copeid
Reliance scouting for oil properties in Latin America, M-E
Mumbai, Sep 23 (PTI) After securing exploration assets, Mukesh Ambani-run Reliance Industries is now aggressively scouting for discovered oil and gas properties in Latin America, Middle East and Far East.
Reliance, which has 12 oil and gas assets in seven countries, has till now been concentrating on exploration assets and as production from these starts it is changing gears, a top company official said.
"We are now more open to buying producing or discovered assets. Earlier that was not the case," Reliance President and CEO (Oil and Gas) P M S Prasad said here.
Reliance has oil blocks in Peru, Australia, Iraq, Yemen, East Timor, Oman and Colombia.
"Our focus is Latin America, Middle East and Far East. We
are not looking at Russia, West Africa and Central Asian
countries," he said.
Reliance was looking at properties which have synergy to
its existing business. "Heavy oil (found in Latin America) is
something good for our refineries. The focus on Latin America
is just because of that."
The company's existing 660,000 barrels per day refinery
at Jamnagar and the new 580,000 bpd only for exports unit
coming up at the same place in next few months are designed to
process heavy crude that give good margins.
Prasad did not rule out Reliance looking at acquiring
medium sized companies. Till now Reliance was averse to
acquisitions. "We now have enough of exploration assets and we
now want to bring a better value (through producing or
discovered assets)."
"But (any acquisition) has to be a value proposition," he
said.
"We want to go to places where we can win on merit,"
Prasad said.
Reliance for the first time ever teamed up with China's
C.N.P.C. to win a gas block in Peru.
Reliance Exploration and Production D.M.C.C., its
overseas arm, along with China National Petroleum Corp
(C.N.P.C.) and Argentina's Pluspetrol this month won rights to
explore for gas in Block 155, in the southern highland
department of Puno, next to the border with Bolivia.
Reliance has since April this year steadily increased its
presence in the Latin American nation.
On June 29, it acquired 10 percent stake in Lot 39 in
northern Peru from Burligton Resources Inc. In May, it had
teamed up with Woodside Petroleum to acquire 50 percent in
Block 108 in Peru from Pluspetrol Energy SA. Of the 50 percent
stake acquired, Reliance got 30 percent while Woodside
Petroleum 20 percent.
Pluspetrol Energy will retain the remaining 50 percent
stake.
The company also acquired 90 percent stake in Block 141
in Peru from Pan Andean Resources Plc in April this year.
Besides Peru, Reliance has one block in Bonaparte Basin
in Western Australia, two blocks in Iraq, three in Yemen, one
in East Timor and two each in Oman and Columbia.
Reliance, which has 12 oil and gas assets in seven countries, has till now been concentrating on exploration assets and as production from these starts it is changing gears, a top company official said.
"We are now more open to buying producing or discovered assets. Earlier that was not the case," Reliance President and CEO (Oil and Gas) P M S Prasad said here.
Reliance has oil blocks in Peru, Australia, Iraq, Yemen, East Timor, Oman and Colombia.
"Our focus is Latin America, Middle East and Far East. We
are not looking at Russia, West Africa and Central Asian
countries," he said.
Reliance was looking at properties which have synergy to
its existing business. "Heavy oil (found in Latin America) is
something good for our refineries. The focus on Latin America
is just because of that."
The company's existing 660,000 barrels per day refinery
at Jamnagar and the new 580,000 bpd only for exports unit
coming up at the same place in next few months are designed to
process heavy crude that give good margins.
Prasad did not rule out Reliance looking at acquiring
medium sized companies. Till now Reliance was averse to
acquisitions. "We now have enough of exploration assets and we
now want to bring a better value (through producing or
discovered assets)."
"But (any acquisition) has to be a value proposition," he
said.
"We want to go to places where we can win on merit,"
Prasad said.
Reliance for the first time ever teamed up with China's
C.N.P.C. to win a gas block in Peru.
Reliance Exploration and Production D.M.C.C., its
overseas arm, along with China National Petroleum Corp
(C.N.P.C.) and Argentina's Pluspetrol this month won rights to
explore for gas in Block 155, in the southern highland
department of Puno, next to the border with Bolivia.
Reliance has since April this year steadily increased its
presence in the Latin American nation.
On June 29, it acquired 10 percent stake in Lot 39 in
northern Peru from Burligton Resources Inc. In May, it had
teamed up with Woodside Petroleum to acquire 50 percent in
Block 108 in Peru from Pluspetrol Energy SA. Of the 50 percent
stake acquired, Reliance got 30 percent while Woodside
Petroleum 20 percent.
Pluspetrol Energy will retain the remaining 50 percent
stake.
The company also acquired 90 percent stake in Block 141
in Peru from Pan Andean Resources Plc in April this year.
Besides Peru, Reliance has one block in Bonaparte Basin
in Western Australia, two blocks in Iraq, three in Yemen, one
in East Timor and two each in Oman and Columbia.
