Indian state-run exploration company Oil and Natural Gas Corp plans to approach Marathon Oil about buying half of its 20 percent stake in the Athabasca Oil Sands Project in Canada, two sources with knowledge of the matter said on Monday.
ONGC Videsh Ltd, the overseas investment arm of ONGC, tried last year to acquire a stake in the Shell-operated
ONGC will again discuss the issue with Marathon Oil Chairman Clarence P Cazlot, who is scheduled to attend the Petrotech energy conference in Delhi on Monday and Tuesday, said the sources, who were not authorised to speak to media.
The New Delhi government has told state firms to secure energy assets overseas as the world's No 4 oil importer looks for supplies to power its $2 trillion economy.
ONGC Videsh Managing Director DK Sarraf declined to comment.
Shell owns 60 percent of the Athabasca project, which includes the Muskeg River and Jackpine mines, according to Shell Canada's website. Marathon and Chevron
The Muskeg River mine's current production capacity is 155,000 barrels per day (bpd), while the Jackpine mine has a capacity of 100,000 barrels per day, it said.
Last month, sources said a trio of state-run Indian oil companies, including ONGC, bid USD 5 billion for stakes in Canadian oil sands holdings owned by ConocoPhillips
ONGC stock price
On November 27, 2015, Oil and Natural Gas Corporation closed at Rs 235.25, up Rs 0.05, or 0.02 percent. The 52-week high of the share was Rs 389.25 and the 52-week low was Rs 208.00.
The company's trailing 12-month (TTM) EPS was at Rs 20.81 per share as per the quarter ended September 2015. The stock's price-to-earnings (P/E) ratio was 11.3. The latest book value of the company is Rs 169.02 per share. At current value, the price-to-book value of the company is 1.39.
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