Cuban Oil Enterprise -CUPET- and the Indian company ONGC Videsh Limited (OVL), signed a shared-production contract for exploration and extraction of oil in Cuban waters of the Gulf of Mexico.

Yadira Garcia, Cuban minister of Basic Industry, attended the signing ceremony, where it was informed that the objective is to look for oil in an extension of 4,300 square kilometers belonging to parcels 34 and 35 of the exclusive economic zone belonging to Cuba in the Gulf of Mexico.

Fidel Rivero Prieto for CUPET and R.S. Butola for ONGC Videsh Limited signed the document.

The exploration period will be divided into three stages with a six-year duration and it is expected the selected area contains considerable fuel resources, it was reported.

Butola affirmed that Cuba offers a very promising exploration potential and OVL is pleased to increase its investment in the island.

The Indian executive said his company is already present in the Cuban energy sector through the acquisition of 30 per cent of the stock package in six offshore blocs belonging to Spanish company Repsol YPF.

Butola said the new contract marks the entrance of that Indian company in Latin America as operador and Hill promote its activities in the region.

Rivero, on his part, highlighted the deal represents a very important moment for Cuban oil entities, closing a first stage of working together.

The CUPET director also announced that six leading companies in the sector have already worked in the Cuban exclusive economic zone in the Gulf of Mexico since 1999, when the island opened the area to foreign capital participation.

He also stressed the professionalism and discipline of the Indian company and its willingness to sign cooperation agreements with the island.

Indian ambassador to Havana, Mitra Vasisht, said her country has wide experience in many fields of the energy spectrum. I hope cooperation expands to other areas, she said.

Source: Prensa Latina