India plans to propose energy pact with China

(Xinhua)
Updated: 2005-11-27 09:13

India plans to propose an overarching agreement on cooperation in oil and gas industry with China when Indian Petroleum Minister Mani Shankar Aiyar visits Beijing in mid-January 2006, Indo-Asian News Service reported Saturday.

In its proposal, India will suggest to set up institutional mechanism to carry forward the cooperation in research and development of energy sector between the two countries, Aiyar said in New Delhi Saturday.

He also indicated that Indian exploration major ONGC Videsh Ltdcould join hands with China National Petroleum Corporation (CNPC) to bid for exploration blocks in Syria.

"The commercial matters can be facilitated if there is a political framework in place within which companies should work together," he said.

The two countries agreed to set up a working group to figure out possible areas of cooperation at a bilateral meeting held in New Delhi Saturday, Aiyar said.

The Petroleum Ministry will hold a meeting with Indian state-owned oil and gas companies Monday to solicit their opinion on cooperation with the four major Chinese oil and gas companies, he said.

"Around four to five MoUs (Memorandum of Understanding) are expected to be signed during my visit to China in January," he said.