OREANDA-NEWS. French authorities have given the Indian petrochemical group Indorama a green light to explore for oil in southwestern France, sources said. The group, which is not yet established in France, got the go-ahead after French authorities last week approved both the transfer and extension of the Lavignolle permit for Indorama to explore conventional hydrocarbons in the Gironde region.

The license covers an area of around 200 square kilometres (77 square miles) and excludes gas and oil shale exploration activities -- which have been banned in France since 2011. The American oil group Marex, which merged with French company Maurel et Prom in 2004, had initially been granted the permit in 2002.

In its 2010 permit transfer demand, Indorama said it had launched "a vast programme" of acquiring licenses for liquid and gas hydrocarbons in several countries in a bid to become a key player in the upstream sector. Founded in 1976, Indorama is headed by Sri Prakash Lohia -- the brother-in-law of steel magnate Lakshmi Mittal.