ONGC Videsh hives off 30% stake in Colombia block

Date: 15-06-2010

ONGC Videsh , the overseas investment arm of ONGC, has farmed out 30 per cent participating interest in CPO-5 block of Colombia to Petrodorado Energy Ltd. The hiving off of the stake has been done to mitigate investment risks involved in undertaking exploratory activities.

This is an exploration block in which ONGC Videsh held 100 per cent stake. OVL had participated in the bidding round 2008 in Colombia and was awarded two Blocks — SSJN-7 with 50 per cent participating interest and CPO-5 with 100 per cent participating interest. The Block SSJN-7 is operated by Pacific Stratus Energy, Colombia, while the Block CPO-5 is operated by OVL. The concession contracts for the blocks were signed in December 2008. The CPO 5 block is flanked in the North and North West by the recent discoveries in the blocks of Guatiquia (Candelilla Structure) and Corcel. crack crack