India's ONGC and BP sign MoU to cooperate on exploration and production

India's Oil and Natural Gas Corporation (ONGC) and BP have agreed to explore opportunities for collaboration and partnership across the energy industry in India and internationally, focused on oil and gas exploration and production, as well as trading and extending to other energy vectors.

The two companies signed a memorandum of understanding (MoU) yesterday in New Delhi.

Under the terms of the MoU, BP will collaborate with ONGC to jointly explore and evaluate potential business opportunities in oil and gas projects both within India and internationally.

Specific areas of cooperation will include potential collaboration in deep-water exploration, enhancing production and optimising the management of ONGC’s maturing fields, and to jointly bid for mutually agreed offshore acreage under India’s Open Acreage Licensing Program (OALP) rounds in partnership with their respective partners.

The MoU further encompasses strategic collaboration to create value in trading and in additional energy vectors, such as carbon sequestration.

The MoU is valid for three years.