OVL, Oil India Offer $5bn for Mozambique Gas Field

A consortium of ONGC Videsh Ltd (OVL) and Oil India Limited (OIL) has offered up to $5 billion to buy the combined 20 per cent stake of Videocon and the US-based Anadarko Petroleum in a Mozambique gas field.

Business Standard has reported that an announcement regarding the move was expected in first week of April. The bidding for the stake offered by Anadarko and Videocon (10 per cent each) closed on Sunday, the newspaper said.

A banking source told the newspaper that OVL and Oil India had made arrangements for funding of up to $5 billion for the Mozambique stake. “OVL was quite aggressive in bidding when compared with foreign oil majors, but we have to wait for the outcome of the auction results for the final offer price,” the source told Business Standard.