Petroleum and Natural Gas Minister M. Verrappa Moily on Wednesday called for setting up joint venture projects in Kazakhstan for manufacturing finished products from their minerals and raw material, which could be exported to India.
He was speaking at a meeting of India Kazakhstan Inter-Governmental Commission on trade, economic, scientific, technological, industrial and cultural cooperation here.
Moily said due to high transportation costs, it is not economical to import raw materials and unprocessed products from Kazakhstan. Hence, he added that efforts should be made to set up joint ventures in Kazakhstan based on these raw materials to manufacture value-added goods which could be exported to India - particularly items like copper, titanium, magnesium, phosphates, potash, molybdenum, tantalum and other rare earths."
Moily also expressed hope that Oil Videsh Limited's proposal to buy ConocoPhillips stake of 8.4 percent in the Kashagan oil field would be favourably considered by consortium partners and the Government of Kazakhstan.
Recently, OVL and ConocoPhilipshave signed an agreement for purchase of the share of ConocoPhillips in Kashagan oil field.
Dr. Moily further said that Indian oil and gas companies have started exploring the possibilities of establishing direct transportation of hydrocarbons from Kazakhstan to India, which, if implemented would be considered a turning point in the region.
"Incidentally, all the countries involved in this venture Kazakhstan, Uzbekistan, Afghanistan, Pakistan and India are members of CICA, an idea conceived by the great leader of Kazakhstan President Nazarbayev, who through his tireless efforts gave birth to this organization in the very early days after independence," he said.
Moily was leading the Indian delegation at the talks, while the Kazakh side was led by Bulat Akchulakov, Vice Minister of Oil and Gas, Republic of Kazakhstan.
The two ministers signed an IGC Protocol here today after conclusion of the India-Kazakhstan IGC meeting.
P. Lakshmi, Minister of State for Petroleum and Natural Gas, and senior officers from both sides were also present at the meeting. (ANI)