ONGC to sign deal with Mittal tomorrow

Oil and Natural Gas Corporation (ONGC) will sign an agreement with global steel tycoon L N Mittal tomorrow for jointly hunting for overseas oil properties and energy business.

The two groups are to ink a memorandum of understanding (MoU) that may lead to formation of project-specific joint venture companies for acquisition of oil companies/fields and energy-releated business like energy trading and shipping abroad.

"We are signing a broad MoU tomorrow," a top ONGC official, who did not want to be named, said today.

Petroleum minister Mani Shankar Aiyar welcomed the deal saying the two had lot of synergy.

"Mittal group has strong presence in Kazakhstan where ONGC is seeking the Kurmangazy oilfield besides interest in Makhambet and Satpayev exploration blocks. We may use the Mittal group influence to get the deals through," the official added.