ONGC Videsh Ltd (OVL), the wholly-owned subsidiary of India’s exploration and production major ONGC, is eyeing 40 percent stake, for $450 million, in Petróleos de Venezuela S.A., the State oil company of Venezuela.

In order to fulfill its plan, OVL will sign up a deal with Venezuelan company by the coming week.

The Union Petroleum Minister, Mr. Murli Deora, together with oil ministry officials will leave for Venezuela on Sunday for the signing ceremony.

On the sidelines of an oil & gas seminar organized by CII, Mr. Deora said, “I am going to Venezuela tomorrow and a deal will be signed.”

The San Cristobal oil block, situated in the Orinoco belt, in Venezuela, owns estimated oil reserve of around 250 million tonnes.

The Petroleum Secretary, Mr. M.S. Srinivasan told that San Cristobal is one of the most potential fields in Venezuela, and it is very opportunistic for OVL to enter the Venezuelan exploration and production segment during the 11th Plan period.

“We expect to start commercial production from that field in three years’ time,” Mr Srinivasan said.

Presently, OVL has 25 projects in 15 different countries, but the company has a major presence in Latin America.

OVL has already signed up a memorandum of understanding (MoU) with NTEVEP, a subsidiary company of PDVSA for skill development in different facets of exploration and production in 2006.

Beside, Pakistan has also invited Indian oil ministry functionaries to discuss the projected $7-billion tri-nation gas pipeline.

Mr. Deora said that he has got a letter from the Pakistan Oil Minister inviting him for negotiations.

There would be two rounds of negotiations that will focus on the transportation cess on gas, he said.