By Tom Fowler
HOUSTON--Seven energy companies have joined Exxon Mobil Corp.
(XOM) in expressing interest to bid for the right to explore for
oil and gas in Afghanistan, according to that country's Ministry of
Mines.
Dubai-based Dragon Oil PLC (DRAGY, DRS.DB), Kuwait Energy Co.,
India's ONGC Videsh Ltd., Petra Energia SA of Brazil, Pakistan
Petroleum Ltd. (PKKKY, PPL.KA), Thailand's PTT Exploration &
Production (PTTEP.TH) and Turkey's TPAO submitted "expressions of
interest" in the Afghan-Tajik Basin in northern Afghanistan, the
ministry said in a release issued Wednesday.
Earlier this week Exxon Mobil confirmed that its Esso
Exploration International Ltd. unit had filed its notice of
interest.
A formal expression of interest gives the companies access to
seismic and well log data in and around the area that is being
offered for bid in northern Afghanistan, near the city of
Mazari-Sharif. The Afghan-Tajik Basin blocks may contain up to 1
billion barrels of oil, according to the U.S. Geological Survey.
Bids will be accepted in the fall.
Minister of Mines Wahidullah Shahrani said the roster of
interested bidders demonstrated "the robust growth and rapid
development of Afghanistan's oil and gas sector."
"Building on the success of last year's tender in the Amu Darya
Basin, we believe this tender magnifies the progress we are
making," Mr. Shahrani said in a statement, referring to a bid
offering made last year. That bid was won by a joint venture
between China National Petroleum Corp. and a local Afghan
partner.
That company began production in Amu Darya on June 24 and is
expected to produce at least 150,000 barrels of oil in 2012,
according to the Ministry of Mines.
Of 20 companies that indicated interest in the latest round, 12
were disqualified because they lacked the required financial
resources or technical expertise, did not submit their information
by the June 30 deadline or did not submit complete information, the
Ministry of Mines said.
Write to Tom Fowler at tom.fowler@wsj.com