ONGC gets government approval to buy GSPC stake

Oil and Natural Gas Corporation (ONGC) announced that the company has received final approval from the government for the acquisition of Gujarat State Petroleum Corporation’s (GSPC) entire 80% holding in a KG basin gas block for Rs 7,738 crore along with operatorship rights.
 
During last year, state-run ONGC had announced a proposal to acquire 80%  stake in debt-laden GSPC’s KG basin gas block for USD 995.26 million (Rs 6,443 crore). Under that deal, it will also acquire operatorship of the block KG-OSN-2001/3 in Krishna Godavari (KG) Basin offshore. 
 
GSPC will get USD 200 million from the ONGC as a part of the consideration.
 
The acquisition is likely to be closed within a month, as per a leading news agency.