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India set to invest $11b in Iran assets


An Indian consortium led by the country’s explorer, Oil and Natural Gas Corporation (ONGC) Videsh is ready to invest nearly $11 billion for development of a giant Iranian natural gasfield and build the infrastructure to export the fuel if it gets guarantee on a ‘reasonable return’ from the project.

The consortium, which includes Indian Oil Corp and Oil India, India’s largest explorer, has been trying to secure development rights to the Farzad-B gas field since at least 2009, according to an Iran Daily News report.

The two countries had aimed to conclude a deal by February on developing the field, which India has said holds reserves of almost 19 tcf. India’s ONGC Videsh can invest close to $6 billion on the Farzad-B field and spend the remaining amount to build a liquefied natural gas export facility, stated the report citing Narendra Kumar Verma, managing director of the overseas investment unit of ONGC.