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India welcomes US national energy policy report

India on Tuesday welcomed the US National Energy Policy report calling for closer Indo-US co-operation in maximising India's oil and gas production.

The recommendations of the National Energy Policy report, submitted by the National Energy Policy Development Group on May 17 emphasising closer Indo-US cooperation in oil and gas, would help New Delhi achieve self-sufficiency in hydrocarbons, Petroleum Minister Ram Naik said at a road show in Houston to promote the seven coal bed methane blocks.

India is offering the CBM blocks in Jharkhand, Madhya Pradesh, Rajasthan and West Bengal for exploration and production through international competitive bidding, he said, adding: "This would help India join the CBM club which at present comprises USA, Poland, China and Australia."

He said that the government was making efforts to harness the new source of energy in the country by providing an attractive fiscal regime and contractual framework.

The first roadshow to promote CBM blocks was held in Delhi on May eight and the second at Houston. The third and concluding road show would take place in Denver, US, on Wednesday.

While bids for the first round of CBM close on August 31 this year, they would be evaluated in about four months' time and the blocks would be awarded by the year end, Naik said.

CBM is primarily methane gas (80-95 per cent) which occurs in its natural state in coal or lignite bed seams in absorbed condition.

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