Chevron (NYSE:CVX) confirmed that its wholly owned subsidiary, Chevron New Ventures, has entered into a memorandum of understanding (MOU) with India’s Oil and Natural Gas Corporation (ONGC) to assess the exploration potential across a number of basins in India, the company told Energy Voice.
“We look forward to working with ONGC,” added Chevron after ONGC announced the MOU on Twitter yesterday.
The news of these agreements with industry giants ExxonMobil and Chevron bodes well for ONGC, which recently pledged to boost exploration investment by 150% to $4 billion.
ONGC in May said it was targeting to boost exploration investments by 1.5 times in the next three years to $4 billion. Significantly, ONGC is heading the South Asian nation’s oil and gas hunt in unexplored areas and is seeking international partners to bring challenging fields to production to make up for the falling output from its ageing fields.