ONGC, partners to invest $24 billion in Mozambique gas field.

Oil and Natural Gas Corp (ONGC) and its partners will invest about $24 billion in producing natural gas from a giant field off Mozambique and converting it into liquid fuel (LNG) for export by ships to consumers like India. ONGC Videsh Ltd., the overseas investment arm of the state-run explorer, holds 16 per cent stake in Rovuma Area 1 where recoverable resources in excess of 75 trillion cubic feet have been established. BPCL holds another 10 per cent and Oil India Ltd. 4 per cent stake in the field and all three together hold more stake than operator Anadarko of the US (26.5 per cent). "The Mozambique government has passed a decree law, paving way for start of construction work on the project. An estimated $23-24 billion will be required to bring first set of discoveries in Rovuma Area-1 on to production and convert that gas into LNG," a senior official in the consortium said.