ExxonMobil wants global arbitration option, compensation assurance

NEW DELHI: Global energy giant ExxonMobil has told the government that two key regulatory changes can facilitate its swifter entry into Indian exploration sector: option to pursue international arbitration in case of a dispute with the government, and an assurance that the company will be justly compensated if the state takes over its business or assets, according to officials.

ExxonMobil appears to be warming up to India lately. It recently signed a preliminary agreement with ONGCNSE -0.23 % to undertake joint technical studies, cooperate in difficult fields and jointly bid for exploration acreages. It accessed the government’s National Data Repository to study large amount of geological data to evaluate the possibility of an exploration bet, according to officials.