India's ONGC Evaluating Bids For Guyana Oil Blocks: Report

The South American country wants to quickly expand its oil industry and recruit developers to counterbalance a consortium that now controls all production.

Guyana's upcoming bidding round for offshore areas has caught the interest of top energy companies from Asia to Europe, according to people familiar with the matter, even as the government continues to work out terms for the auction.

The South American country wants to quickly expand its oil industry and recruit developers to counterbalance an Exxon Mobil Corp-led consortium that now controls all production. The Exxon group has outlined plans to install at least seven vessels to tap more than 11 billion barrels discovered to date.

India's ONGC Videsh, the overseas investment arm of state-run Oil and Natural Gas Corp, is considering a bid for some of the 14 exploration blocks the country has put on offer. Refiner Indian Oil Corp also is looking to work in Guyana in collaboration with ONGC Videsh, two people close to the talks told Reuters.

Guyana's president, Irfaan Ali, this month traveled to India and encouraged energy companies to participate in the auction, extending the same invitation to Chinese firms days later. Guyana might consider allocating areas directly to strategic partners through government to government negotiations, officials have said.