Open Acreage Licensing Programme (OALP)

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News: Ministry of Petroleum and Natural Gas signed contracts for 7 blocks, awarded under Open Acreage Licensing Programme (OALP) Bid Round – IV.

Facts:

Open Acreage Licensing Programme (OALP):

  • Launched in 2016, OALP, is a part of Hydrocarbon Exploration and Licensing Policy (HELP).
  •   It is aimed at enabling faster survey and assessment of areas with oil and gas potential.
  • It enables companies apply for particular areas they deem to be attractive to invest in, and the Centre then puts those areas up for bids.

Hydrocarbon Exploration and Licensing Policy (HELP):

  • Introduced in 2016, it is a contractual and fiscal model for award of hydrocarbon acreages towards exploration and production (E&P).

Major Characteristic Features:

  • Single License for both conventional and unconventional Hydrocarbons
  • Transition from Cost Recovery mechanism to Revenue Sharing mechanism.
  • Full Marketing & Pricing Freedom
  • Low regulatory burden
  • Fiscal incentives provided to investors

Implementing Agency: Directorate General of Hydrocarbons (DGH), Ministry of Petroleum and Natural Gas

Additional Information:

National Data Repository: It is an integrated data repository of Exploration and Production (E&P) data of Indian sedimentary basins.