With US President Barrack Obama visiting India in November, the ministry of external affairs has asked key economic ministries and government departments to finalise the details of “potential deliverables” — agreements to be signed between India and the US — during his visit.
“Both governments have identified some potential deliverables for the visit and the ministry of petroleum and natural gas is requested to inform regarding the status of the proposed agreement with US for cooperation in shale gas resource assessment,” MEA said in its letter to the ministry of petroleum and natural gas.
Officials said petroleum ministry brass is currently in Washington to finalise the contours of this agreement.
Shale gas — or gas trapped under rocks — is emerging as one of the hottest investment plays in the energy sector. Reliance Industries Ltd (RIL) has already invested $3.5 billion in purchasing shale gas assets in the US, which has the world’s largest reserves.
Shale gas extraction involves tapping natural gas trapped between layers of shale rock, similar to the extraction of gas from between coal seams. India is keen to sign an agreement with the US for shale gas exploration technology.
“This agreement (on shale gas) was also identified as deliverable for the visit of President Obama, during discussions with the US National Security Adviser recently,” officials said.
{{/usCountry}}“This agreement (on shale gas) was also identified as deliverable for the visit of President Obama, during discussions with the US National Security Adviser recently,” officials said.
{{/usCountry}}MEA has written similar letters to other government departments including the power ministry and the ministry of science and technology. “Details are being firmed up,” a senior power ministry official told Hindustan Times.