India’s desire to give up the disputed area in the South China Sea oil field to worry about being misunderstood by the Chinese pressure
According to the Hindustan Times reported on the 24th, India’s state-owned oil and gas company ONGC’s subsidiary OVL due to mining difficulties in the exit region of a no oil from the disputed waters in the South China Sea, the Indian government that exit will be that succumb to pressure from Beijing, and now the matter had reached an impasse. The company last year from another exploration area for the same reason to exit. 2006, Vietnam will be allocated 127 and 128 blocks of the disputed area in the South China Sea to the Indian oil and gas companies, in cooperation with Vietnamese companies to exploit, caused by the Chinese protest. On the 24th, the OVL Company officials in India said that will not quit due to China’s protest oil exploration in the South China Sea.
According to the Wall Street Journal reported on the 24th, OVL 2006, mining rights and the Vietnam National Oil and Gas Group to exploitation of Phan Thiet City, Vietnam in Binh Thuan province, east of waters 127 and 128 blocks. 2011 failed to find natural gas, the OVL’s abandonment of the mining rights of the 127 block, to give the Vietnam National Oil and Gas Group. The article quoted the company declined to be named executives as saying that “we will report of the Board of Directors, or the increase in mining investment, or give up the block (128 blocks), because the neighboring block No. 127 failed to find gas. normal assessment procedures. “reported that the decision of the Board of Directors of the Company will be reported to the Indian Ministry of Petroleum and awaiting final approval, indefinite periods of time.claimed
“Hindustan Times” on the 24th, the OVL company has sent a letter to the Indian Ministry of Petroleum of their intention to give up No. 128 blocks in the area of ??seabed rock too hard, after repeated attempts to drilling are was not successful. But the Indian government believes that these areas “has strategic significance, and the exploration of Indian companies last year caused a confrontation between India and China, New Delhi do not want to OVL suddenly withdrew from this region at this stage. The report quoted unnamed government officials in India said: “If ONGC to exit from the No. 128 blocks, India may be considered to succumb to pressure from Beijing is Beijing that India’s exploration activities are ‘illegal’.” The article said that Indian Ministry of Petroleum in the April 10 letter to the Ministry of Foreign Affairs said: “the OVL made the decision to give up purely technical and commercial considerations.” analysts said that if the Government agreed to the OVL companies exit No. 128 blocks , may be a temporary calm. “However, due to India and Vietnam last year, has decided to strengthen energy cooperation, the South China Sea dispute will not end quickly.” ONGC, a company official said: “This does not mean that India’s climb from the South China Sea, the OVL and Vietnam signed a exploration of oil and gas agreement, common in this area. “
The Wall Street Journal said, giving up No. 128, 2030 block means that the company is difficult to achieve overseas mining 35 million tons crude oil and natural gas targets. As of March 2011, the company’s overseas resources, oil production was 9.448 million tons. Reported that 06.1 block in Vietnam’s southern coast, the OVL has a 45% stake in British Petroleum and the Vietnamese partner, and China did not protest. The block oil and gas field production of natural gas from 2003, the OVL in this region to play a more wells to enhance gas production.