State-owned Oil and Natural Gas Corporation is keen to acquire Canadian oil and gas firm First Calgary Petroleums Ltd, which owns high potential oil and gas blocks in Algeria.
ONGC, through its overseas arm ONGC Videsh Ltd, has made out two bids - one for acquiring Calgary-based FCP as a whole and the other for acquiring its interest in Ledjmet and Yacoub exploration blocks in Algeria's Berkine Basin, industry sources said.
FCP is listed on the London and Toronto stock exchanges.
OVL faces competition from European and Chinese firms. At least two European majors have also bid.
A top company official confirmed having bid for FCP but refused to give details. "All I can confirm is that we have put in our bid."
Sources said FCP would be OVL's second largest investment overseas after the $1.7 billion investment in taking 20 per cent stake in Russia's Sakhlain-1 oil and gas fields.
OVL, which is on an acquisition spree as demand outpaces domestic oil and gas output, has interests in oil and gas properties in Russia, Sudan, Vietnam, Egypt, Qatar, Yemen, Iran, Iraq, Myanmar, Australia, Ivory Coast and Syria.
FCP holds 49 per cent stake in the two blocks with the remaining 51 per cent held by Algerian national oil firm Sonatrach.