Tata Petrodyne in talks to buy Al Hayat group's oil assets

India's Tata Petrodyne is in talks with Bahrain-based Al Hayat Group for buying oil blocks in the country. According to CNBC-TV18 reports, the deal value is likely to be between Rs 1,400 crore and Rs 1,600 crore.

September 13, 2012 / 10:40 PM IST

India's Tata Petrodyne is in talks with Bahrain-based Al Hayat Group for buying oil blocks in the country. According to CNBC-TV18 reports, the deal value is likely to be between Rs 1,400 crore and Rs 1,600 crore.     


The Al Hayat Group is looking for partners for its oil blocks in Bahrain. Sources say the deal may be conducted by Tata Petrodyne via the joint venture route.


Tata Petrodyne, a wholly owned arm of Tata Sons, holds 21% participating interest in offshore field named PY-3 located in block CY-OS-90/1. The operator of the block is Hardy Oil, which holds 18% interest while ONGC is the majority stake holder. Hindustan Oil and Exploration holds a 21% stake.


Apart from the Cauvery basin block, Tata Petrodyne has interests in six blocks in India and six assets overseas spread across the United Kingdom, Australia and Indonesia.


Its Indian assets include its only gas producing block in the Cambay basin in partnership with Cairn India. Tata Petrodyne has a 10% interest in the block.


Sources the company is evaluating various options to create shareholder value. The deal is expected to expand Tata Petrodyne's presence in West Asia.

Responding to a CNBC-TV18 query a Tata Petrodyne spokesperson said, "We do not comment on market speculation".

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