The Indian government has approved a proposal for an additional 121.27 million US dollar investment to be made by ONGC Videsh Ltd (OVL) in the development of an oil and gas project in Myanmar.
The decision was taken in a cabinet meeting chaired by Prime Minister Narendra Modi on Wednesday.
The OVL, the overseas investment subsidiary of ONGC, has already invested $722 million till March 31, 2019 in the Shwe project that has given it positive cash flows since 2014-15, report agencies.
The state-owned Oil and Natural Gas Corporation has been associated with the exploration and development of the Shwe gas project in Myanmar since 200 as part of a consortium of companies from South Korea, India, and Myanmar. Indian PSU, GAIL, is also a co-investor in this project.
The first gas from Shwe Project was received in July 2013 and plateau production was reached in December 2014.
Additional investment in the project will help the block to ramp up production and generate more value to the investors.