Date:10/04/2004 URL: http://www.thehindu.com/2004/04/10/stories/2004041003411700.htm

Business

OVL to acquire Angola block for $600 m

By Our Special Correspondent

NEW DELHI, APRIL 9. ONGC Videsh Limited (OVL), a wholly owned subsidiary of Oil and Natural Gas Corporation (ONGC ) announced on Thursday that an agreement had been reached on acquiring Shell's equity stake in a deepwater offshore block in Angola. OVL will acquire Shell's entire 50 per cent interest in the deepwater offshore Block 18 in Angola, including the Greater Plutonio development at a cost of $600 million.

A company release says the transaction will be completed later this year, subject to approvals by the Angola Government and the Angolan company, Sonangol, and pre-emption rights of BP and Sonangol. The consideration for the transaction will be around $600 million, assuming that it is completed by mid-2004.