Indian Oil has an agreement for $20 billion
with the Corporación Venezolana del
Petróleo S.A. (CVP) for the development and
production of the Carabobo-1 Project in the Orinoco region of
Venezuela. The new venture will be called PetroCarabobo
S.A. Other parties to the agreement include
OVL, Repsol and Petronas. The
plan is to build heavy-oil production facilities, upgrading facilities and associated
infrastructure. The upstream production facilities are expected to produce
around 400,000 bpd of extra heavy oil, of which approximately
200,000 bpd will be upgraded into light crude oil in a facility
to be located in the Soledad area of Anzoátegui State.
The license term will be for 25 years, with the potential for a
further 15 year extension.