Offshore staff

(Cuba)-Updating an announcement reported last week, ONGC Videsh Ltd., the overseas arm of India's ONGC, has specified its stake in seven oil and gas blocks off the coast of Cuba.

Last September, OVL had acquired a 30% stake in seven oil and gas blocks, of which Spain's Repsol-YPF is the operator and majority stakeholder.

An official for OVL specified the blocks under the agreement: deepwater exploration Blocks 25, 26, 27, 28, 29, 36 and part of Block 35 in the GoM. The official went on to explain that the blocks are spread over an area of nearly 12,000 sq km in what is called the Exclusive Economic Zone of Cuba.

According to the official, "The hydrocarbon resource potential in the blocks is estimated to be in excess of 4 Bbbl. One exploratory well drilled in one of these blocks indicated presence of hydrocarbons."

The blocks are in the third exploration period, with work during this period including acquisition of 3,000 sq km of 3-D seismic data. The next exploration phase will entail a decision on the number and location of wells to be drilled on the prospects.

The formal agreement between OVL and the Cuban government will be signed on May 23 in Havana.

5/16/2006