Mumbai, Nov. 17
Reliance Industries Ltd and Videocon Industries have signed separate production sharing contracts (PSCs) in the Democratic Republic of Timor.
Videocon's global subsidiary concluded a PSC with Timor Sea Designated Authority for the JPDA block within the Bonaparte Basin. Videocon signed the pact along with its equal joint venture partners, Oilex of Australia, Gujarat State Petroleum Corporation Ltd and BPCL.
The consortium has agreed to complete a guaranteed work programme of acquiring 1,006 line km of 2D seismic and 1,020 sq km of 3D seismic and drill four wells in the first phase of three years. The risked reserves in the block are estimated at 47 million barrels of oil/ oil equivalent.
Reliance signed a separate PSC for the offshore contract area K in Dili, capital of Timor Leste. The area of the awarded block spreads over 2,384 sq km. The company has E&P blocks in Yemen, Oman and Colombia.
It was in January 2006 that the Government of Timor Leste invited bids for 11 offshore exploration blocks in shallow to ultra deep waters in that country. The acreage offered lies in petroleum province of Australian North West Shelf and is adjacent to the Timor Sea, which is a joint petroleum development area between Timor Leste and Australia. The region contains major discoveries like Bayu-Undan and Greater Sunrise.
The Government of Timor Leste announced the awards in May this year. Of the 11 blocks under the licensing round, six have been awarded, including the one awarded to Reliance.