A consortium of Indian companies signed a contract on 25th of December 2002 at Tehran to carry out exploration in the Farsi Block located in the Persian Gulf. This marks the first step in India’s involvement for exploration in the Iranian Oil Sector.

The consortium consists of ONGC-Videsh with 40%, IOC with 40% and OIL with 20% of the equity. The contract commits US$ 27 million in exploration obligation. Oil discovery in excess of 500 million barrels is expected.

Director Exploration of the National Iranian Oil Company signed the contract on behalf of the Iranian Government. The ceremony was also attended by Shri Pripuran Singh Haer, Ambassador of India to Iran and Shri J.M. Mauskar, Joint Secretary, Ministry of Petroleum , who is leading a delegation of Indian Oil Companies to Iran.

Welcoming the Indian Investment, Iranian authorities expressed the hope that this initiative would lead to increased participation by India in the Iranian Hydrocarbon Sector. Such cooperation would help in further consolidation of historical ties between the two countries, they said.

New Delhi

December 26, 2002

Tehran

11 September 2008