Turkmenistan, Ashgabat, Nov. 27 /Trend H.Hasanov/
Indian ONGC Videsh Ltd (OVL)company is looking to invest in Turkmenistan's exploration and production (E&P) industry and is interested in the large gas reserves of the country, the Indian edition of Business Standard stated on Tuesday.
According to information, Turkmenistan's Acting Minister of Oil & Gas Industry and Mineral Resources Kakageldy Abdullaev invited Indian companies Gail and OVL to make
investments in his country during his visit to Delhi last month.
"We are very keen to invest in the E&P sector of Turkmenistan, particularly its gas reserves. We have had few meetings with key people from the country. Their government delegation is likely to be here later this year," the managing director of OVL D K Sarraf stated.
Turkmenistan offers service contracts to the foreign companies.
"Turkmenistan prefers service contracts, but we are keen to have a production-sharing contract," Sarraf said.
India has already partnered Turkmenistan to import gas through the transnational TAPI(Turkmenistan, Afghanistan, Pakistan and India) pipeline project.
The basic document for development of TAPI is Ashgabat intergovernmental agreement of participating states on the start of the project's practical implementation signed in late 2010.
In 2008, the project cost was estimated at $ 7.6 billion. Bangladesh has recently stated about its interest in the project. Independent experts say that is the key point on the agenda is the issue of the security of this project, passing through troubled Afghanistan, which signed memorandum of understanding with Turkmenistan in spring.
The largest field in Turkmenistan Galkynysh can become raw material source of the project along with Dovletabad field.
The TAPI project is currently at an important stage of development. In autumn, Turkmenistan held a series of international road shows on this project with the participation of the Asian Development Bank (ADB).
The length of the pipeline may be 1735 kilometers. Under the project, the gas pipeline should stretch from the Turkmen fields to the village of Fazilka in India on the border of Pakistan.
The pipeline's designed capacity is 33 billion cubic meters of gas per year. At this stage the principle of forming an international consortium is under discussion and the project financing issue is being resolved