Policy & Regulation

BP set to give up Indian block

British major BP is set to return an offshore gas block in India’s Bay of Bengal to the government because the Ministry of Defence has claimed it for naval activity.
By Freya Dixon van Dijk 20 June 2013 0 2505

British major BP is set to return an offshore gas block in India’s Bay of Bengal to the government because the Ministry of Defence has claimed it for naval activity.

The defence ministry has barred BP and its Indian partner, Reliance Industries, from operating in the KG-D17 Block, saying about 70% of the nearly 200,000 hectare area – a strip through the centre of the block – is now classified as a military “impact zone”, needed for Navy and Defence Research and Development testing and exercises.

BP Vice...