The deal, could be valued around $800 mln-$900 mln
NEW DELHI : State-owned Indian Oil Corp Ltd has received approval of its board to acquire 10% stake in Malaysian state oil company Petronas’ Canadian shale gas asset, senior oil ministry and company officials told Cogencis.
“The board approval came a few days ago, now the matter has to be approved by an Empowered Committee of Secretaries after which it will need Cabinet approval,” one of the ministry officials said.
While confirming the news, a senior Indian Oil official said the deal could be valued around $800 mln-$900 mln.
If all regulatory hurdles are cleared, this would be Indian Oil’s first acquisition of any upstream asset abroad without a partner. IOC had earlier ventured into overseas oil and gas exploration and production with state-owned explorer Oil India Ltd. “The date for the Empowered Committee of Secretaries meeting has not been set yet, so the whole process could take two to three months,” the ministry official said.
The secretaries panel includes secretaries of the oil ministry, finance ministry, foreign affairs ministry and law ministry. -Cogencis