India will launch a new exploration licensing regime next July, offering acreages to companies for the first time in seven years, with new terms such as market prices for their output, freedom to carve out their block and share revenues, instead of profit, with the government. Oil Minister Dharmendra Pradhan launched the National Data Repository, which gives potential investors access to necessary geological data that will help companies carve out exploration blocks. The Cabinet had approved the new policy, named Hydrocarbon Exploration and Licensing Policy (HELP), last year. The oil ministry has now put in place all components needed to operationalise the policy, including a model revenue sharing contract, open acreage licensing policy, and national repository containing all exploration and production data of Indian sedimentary basins. HELP replaces New Exploration Licensing Policy (NELP) that governed India’s oil and gas sector for two decades but didn’t help produce much oil or gas. The public opening of data repository will enable prospective investors to interpret data and then apply for a specific area for either Reconnaissance contract that permits exploration for 2 years, or Petroleum Operations Contract for 20 years.

(Economic Times)