The Petroleum Ministry, which earlier warned that foreign investors would shy from bidding for blocks on offer in NELP-VII unless tax breaks were restored for gas fields, changed track today to claim that the latest offer was by far most successful. Western oil firms were lukewarm about the latest licensing round, deterred by tax issues and concerns about quality of blocks on offer, Reuters said quoting top executives. Foreign firms were put off by the government’s move to offer tax concessions to companies that discover oil, but no such incentive is offered for gas discoveries.

$4.5 bnExpected investments from the NELP-VII auctions

57The number of exploration blocks put up for auction

45The number of exploration blocks that received bids

21The number of foreign bidders

75The number of Indian bidders

Aug 31Expected date for awarding the exploration blocks

“There is no clarity in taxation and prospectivity is also an issue."

Larry Fisher, Niko Resources

“Some of the blocks on offer were too small, and some were recycled.”

Jonathan Evans, BP

“Going by the number of bids, what it shows is India is still a good destination.”

V.K. Sibal, upstream regulator

editor@expressindia.com