India may award oil blocks next March

NEW DELHI, Dec 7 (AsiaPulse) - The Indian government is likely to award oil and gas blocks offered for bidding in ninth round of New Exploration Licensing Policy (NELP) by March next year, eight months behind schedule. "Some blocks (offered in NELP-IX) were held up due to security issues. By March next year, most of the blocks will be awarded," Sudhir Bhargava, Additional Secretary, Ministry Of Petroleum and Natural Gas said here today.

The government had offered 34 blocks in NELP-IX last year.

Oil Minister S Jaipal Reddy had at the close of bidding on March 28, 2011, stated that the blocks would be awarded and contracts signed with winners in four months.

"We were looking at (signing PSCs) by December," Bhargava said pointing to defence ministry raising objections to offer of some blocks that fall in Naval exercise areas.

The government had in the previous eight rounds awarded 235 areas for exploration and production of oil and gas.

While Bhargava did not say how many of the 33 blocks that were bid for in NELP-IX would be awarded, officials in his ministry stated that a high-level panel of secretaries has recommended awarding of only 14 areas.

Empowered Committee of Secretaries (ECS