Upstream oil firms bear one-third of the revenue that retailers lose on selling diesel, domestic LPG and Kerosene at government-controlled rates.
Struggling to meet budget targets, the government had in the just concluded fiscal asked cash-rich PSUs to pay second interim dividend as well as undertake share buyback.
Share prices of both upstream and downstream public sector oil companies fell up to two per cent on Monday. Even Essar Oil, a private fuel retailer, fell 1.50 per cent on the Bombay Stock Exchange.
Reliance had committed to drill 22 wells in the Dhirubhai-1 and 3 fields or D1, the largest of 18 gas discoveries in the block KG-DWN-98/3 or KG-D6 block in the Bay of Bengal, by April 2011 to produce 53.4 million standard cubic meters of gas per day (mscmd).
In its annual work program submitted to upstream oil regulator Directorate General of Hydrocarbons, Reliance stated that natural gas output from Dhirubhai-1 and 3 or D1 and D3 gas fields in the block KG-DWN-98/3 or KG-D6, will be about 38 mmscmd in 2012-13 from current production level of 43-44 mmscmd.
The Directorate General of Hydrocarbons (DGH) last month wrote to Reliance asking it to drill two more wells by April to meet its commitment of drilling 22 wells in the phase-1 development of the Dhirubhai-1 and 3 or D1 and D3 gas fields in the KG-D6 block, official sources.
Reliance Industries on Wednesday said good oil and gas properties are likely to be available for acquisition globally in six months, providing Indian firms -- with deep pockets -- excellent opportunity to consolidate their portfolio.
With CVC finding a 'deficit of trust' in him on the allegations, Sibal was denied an extension as head of India's upstream nodal agency till his superannuation age of 60 years in January 2012.
The subsidy burden of upstream oil companies, Oil and Natural Gas Corporation and Oil India Ltd, have risen 42 per cent in a single quarter.
Oil subsidies to fall 44% in FY15.
Accusing V K Sibal of having a 'nexus' with private parties when he was chief of the upstream oil regulator, CBI has decided to seek the government's permission to probe his actions.
Bids were received for only 36 of the 70 blocks that were on offer.
The global economic meltdown and the gas dispute between the Ambani brothers may trip India's largest ever auction of oil and gas blocks as the two factors are likely to keep major foreign firms from bidding, the sector regulator feels.
On Thursday, Oil Minister Dharmendra Pradhan had stated that the government was reworking the subsidy-sharing formula.
After diesel, the government is considering raising cooking gas (LPG) and kerosene rates in small doses of Rs 5 per cylinder and Rs 0.50-1 a litre every month to wipe out Rs 80,000 crore subsidy on the two fuels.
"With RIL commissioning its second refinery last December, the total capacity of the (Jamnagar) complex will go up to 1.24 million barrels a day, exposing it to international vagaries. By surrendering the EOU status of one refinery and maintaining that of the other, the company will be able to hedge its risks," said an industry veteran. EOU status for RIL's second refinery currently ends in March 2010.
Chinese alumina refining and metal smelting technologies have emerged as a match for the best anywhere in the world. In fact, Vedanta and Hindalco have bought technologies from China. Our aluminium makers will be haunted by twin fears of rising imports and low metal prices squeezing margins over a long time.
The panel has been asked to analyse the cash flows and the profitability of all three groups of companies so as to get a clear picture of the changes taking place in their operating positions, particularly the impact on access to credit and cash availability of their operations. It would also revisit the concept of 'under recoveries' and examine the reported deficit and the real deficit faced by oil marketing companies as a result of price constraints imposed on them.
Investment in market leaders with a safety-first approach could yield reasonable returns across sectors.
The rating affirmation reflected RIL's strong business profile - a large-scale refinery with a capacity of around 1.2 million barrels a day and dominant market position in petrochemicals.
The Indian basket represents the price of Oman and Dubai sour grade crude.
"India offers attractive opportunities for foreign investors in petroleum sector under the seventh round of the New Exploration Licensing Policy," Minister of State for Petroleum and Natural Gas Dinsha Patel said on Thursday, while inaugurating a Road Show in Calgary .
After sharing the losses of state-owned fuel oil retailers, upstream producers may also have to pay income tax on the burden they take on their books.
Despite hundreds of crores of rupees being spent to clean the Ganga, the lifeline of north India, pollution levels in the river have reached septic levels at certain points with dissolved oxygen dropping to alarmingly low levels.
Following up on Finance Minister Arun Jaitley's Budget announcement of creating an integrated oil company, India's biggest oil and gas producer ONGC may buy all of the government's 51.11 per cent stake in Hindustan Petroleum Corporation Ltd.
Once the deal is inked, the two companies will also jointly bid for exploration blocks under the ninth round of auctions in Brazil.
In a bid to enter India's booming petroleum sector, the Hinduja group has entered into a joint venture agreement with Oil and Natural Gas Corporation
Low-to-negative margins on sale of petroleum products have forced some companies to scrap their retail expansion plan, while others have chosen to go slow.
Empowered group overrules DGH's recommendations.
The MoU seeks cooperation in upstream, midstream and downstream activities.
ONGC and Oil India might be hit because of this additional burden which they might have to take because of crude going to $100 per barrel.
ONGC is likely to pay Rs 17,000 cr to subsidise products by the end of this fiscal.
After the euphoria over the recent oil and gas discoveries made by upstream behemoth Oil and Natural Gas Corporation
Indian Oil Corporation on Friday offered a stake to Kuwaiti companies in its upcoming petrochemical plant at Panipat and the proposed refinery at Paradip.
Khan in his maiden speech at the 74th UNGA session suggested that nuclear-armed Pakistan may not have much of a choice if a conventional war were to break out between Pakistan and India which he described as a country seven-times its size.
At 5% customs duty, the govt will earn more than $3 bn
Oil and Natural Gas Corporation and Mukesh Ambani-controlled Reliance Industries may tie up to build a common gas processing unit as the two firms have discovered huge reserves in the Krishna-Godavari basin
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