According to media reports, British Gas and British Petroleum are interested to set up
oil refineries and LNG terminals in India.
It may be noted that recently, government allowed 100 per cent FDI in oil refineries throÂugh the automatic rouÂte and this removes the need for a foreign company to tie-up with an Indian company for such projects.
Meanwhile, Iraq is interested acquiring stake in the Paradeep refinery being set up by Indian Oil Corporation (IOC). The refinery, to be completed within a year, is IOCÂ’s 10th. It will have an installed capacity of 15 million tonne and cost over Rs 27,000 crore.
Moily said recent policy decisions coupled with the new CBM (coal based methane) and shale gas policies being worked out would help India meet half of its the oil and gas requirement domestically by 2020, 75 per cent by 2025 and 100 per cent by 2030.
It is learnt that the government prepared the cabinet note on CBM policy and it would be discussed by the cabinet secretariat soon. The shale gas policy preparation is in the final stages and would be prepared soon, reports indicate.
Government expects a substantial growth in domestic gas production by 2016-17 following the move to accept the Rangarajan committee formula for pricing the fuel.
This would encourage state-run firms, which discovered 3 trillion tonne of gas in the KG basin and kept it capped as it was not commercially viable at $4.2 per mmBtu, to start work for extracting it.