The investment plan of ONGC Videsh (OVL) on Iran’s Farzad-B gas field in the Persian Gulf seems to have been put on the back burner, with banks and operators having expressed concern about sanctions by the US.
A source said a deal was expected to be signed on September 15 last year but got postponed after a European and an Australian consultant company withdrew from their contracts. A similar concern was raised by State Bank of India (SBI) that had an exposure to several projects of the fully-owned subsidiary of Oil and Natural Gas Corporation (ONGC).
