ONGC auction gets tepid response

Oil and Natural Gas Corp’s bid to seek private operators for its 64 producing small fields is attracting limited interest from experienced players as potential bidders want a key auction criterion changed: they want the state-run firm to offer a part of the baseline production on top of the proposed share in incremental output from these fields.

In June, ONGC had sought private contractors for these fields, organised in 17 onshore contract areas and with a reserve of 300 million metric tonnes of oil equivalent, and is currently engaged in pre-bid talks with potential bidders. The bidding will close in December.