| BPRL-Videocon combine buys oil blocks in Brazil |
| BS Reporter / Mumbai September 13, 2007 |
| A consortium of Bharat PetroResources (BPRL), a wholly-owned subsidiary of Bharat Petroleum Corporation (BPCL), and Videocon Industries, have jointly purchased Encana Brasil Petroleo Limitada (EBPL) for about $165 million, to explore oil blocks in Brazil. EBPL is a subsidiary of Encana Corporation, Canada. The transaction is for EBPL's assets in ten deep and ultradeep water exploration blocks in four concessions in offshore Brazil. Petrobras, the national oil company of Brazil, is the operator in three concessions while Anadarko, a US-based oil and gas company, is the operator in one concession. According to the release issued by BPCL, the BPRL-Videocon consortium's participating interests in these blocks will range from 20 to 40%. The Brazilian offshore has potential oil fields and oil was discovered in many blocks, said BPCL sources. Standard Chartered Bank acted as the financial advisors to the consortium for the transaction. BPCL and Videocon have equal share in the consortium and the deal will be effected through 100% share purchase. The share-sale agreement was signed on September 8 at Encana Corporation |
