Discovered Small Field Bid Round: 2016

Transcription

1 Ministry of Petroleum and Natural Gas Government of India Launch of : 2016 Directorate General of Hydrocarbons DGH May 25, 2016

2 Agenda 1 Evolution of Upstream Sector in India 2 Significant Milestones Achieved 3 4 Bid Process and Important Dates 2

3 Evolution of Upstream Sector in India State Monopoly Liberalization of E&P Sector Public Sector Upstream Oil Companies 9 NELP and 4 CBM rounds. 254 exploratory and 33 CBM blocks through competitive bidding New Domestic Gas Pricing Guidelines Small Discovered Field Policy Beginning of de-regulation 28 producing fields and 28 exploratory blocks offered including private players Further liberalization of the sector Discovered small field bid round-2016 HELP - Hydrocarbon Exploration licensing policy Open acreage licensing Pricing Guidelines for difficult fields Nomination Era Pre-NELP PSCs NELP/CBM PSCs Future 3

4 Significant Milestones Achieved since De-regulation 01 During , 310 contracts were offered under 7 rounds of Pre-NELP Exploration, 2 rounds of Pre-NELP Field and 9 rounds of NELP 02 Total area of sq.km awarded for Exploration & Production 03 Cumulative production of MMT Oil and BCM of Gas (from to ) 04 Average production since inception ~1,16,000 BOPD of Oil and ~22 MMSCMD of Gas 05 Total of US$ 40 bn investments up to Q2 FY Success Stories - Ravva Panna-Mukta Mid & South Tapti Kharsang Hazira Dholka 4

5 Contract Areas Offered Facilities available to Bidders Key Offerings 46 Contract areas 26 onshore, 18 shallow water, 2 deep water 2042 LKM 2D, 1336 SKM 3D and 130 Wells Geo-scientific data available 48 MMT+ of in-place volume of Oil reserves 38 BCM+ of in-place volume of Gas reserves Rajasthan fields 2 Reserves 0.1 MMt Gujarat fields 6 Reserves 4.1 MMt Mumbai fields 29 Reserves 55.5 MMt Tamil Nadu fields 2 Reserves 0.4 MMt Contract Areas Offered Andhra Pradesh fields 15 Reserves 4.4 MMt Assam fields 13 Reserves 23.0 MMt Blocks offered in new supportive regime will open avenues for future rounds 5

6 Contract Areas Offered Facilities available to Bidders 6

7 Facilities available to Bidders Revenue Sharing Model Single license for Conventional & Unconventional Hydrocarbon Exemption of Oil Cess and Custom Duty Exploration allowed during entire contract period (20 years extendable for up to 10 years) Prior Technical experience not a prequalification criteria Up to 100% FDI allowed Pricing and Marketing Freedom for Oil and Gas on Arm s length principle Royalty Rates 12.5% for Onshore Areas 10% for Offshore Areas 5% for Deepwater Areas Ease of Exit and No Minimum Work Program Pre-determined Liquidated Damages (LD) for unfinished biddable Work Program Provision for sharing of common facilities No upfront Signature Bonus 7

8 Facilities available to Bidders Revenue Share Contractor to bid the percentage of Government Share against : Lowest Revenue Point (LRP) US$ million/day Highest Revenue Point (HRP) US$ million/day Bid carrying highest NPV will get 80 marks and rest bids would be proportionately evaluated Weightage 80% Work Program Bid proposing maximum number of appraisal / development wells would get 20 marks and rest bids would be proportionately evaluated 20% 8

9 Government Share Facilities available to Bidders ILLUSTRATION Bidded revenue share between two Revenue points to be interpolated on a linear scale Revenue to be calculated as per assumed production & price profiles NPV of Government s share in revenue to be considered for evaluation (Biddable) X (Biddable) Y X,Y >0 LRP HRP LRP (USD HRP (USD MM/ day) MM/ day) Revenue 9

10 Facilities available to Bidders Technical Information portal - Ready reckoners on how to access portal Bidders can view E&P data - Seismic 2D Lines, Field Boundaries, Geographical Locations, Well Information Contract Areas related data Field area, quantum of E&P data, reserve estimates etc. Information guides on applicable taxes, policies and contracts Physical data view room bookings, roadshow bookings, one-to-one meetings can be scheduled News and Updates related to the DSF E-Bidding portal - User-friendly interface for uploading bid documents with easy registration process Instruction to bidders on bid upload process, methodology of bid evaluation, etc. Secure gateway through Digital Signature Certificate Provision for online payment of Tender fees 10

11 Facilities available to Bidders Physical Data Centers Physical data centers with interpretation facility set up at Noida Various other data centers to be set up at other international locations Bidders can access technical data of various contract areas on offer 11

12 Bid Process and Important Dates Bid Process Important Dates Bidders to bid* online** at designated portal Hardcopy submission of all supporting documents to DGH Activity Date Launch 25 th May, 2016 Ministry to accord approval based on ECS recommendations DGH to submit bid evaluation reports to the Government for consideration Data Rooms Noida from 6 th June, 2016 London and other international locations subsequently Bid start date 15 th July, 2016 After due approvals, RSC to be finalized with awardees Bid closing 31 st October, 2016 Award Within 2 months *Any number of Contract Areas can be bid for ** Most of the documents will be uploaded online Contract signing 1 month from the date of awards 12

13 Thank you Directorate General of Hydrocarbons (Under Ministry of Petroleum & Natural Gas) Phone: , Fax: Website: DGH DGH India 13