According to an internal note prepared by the union petroleum ministry, the new gas pricing formula approved by the cabinet would enable exploration and production from around 3 tn cf (trillion cubic feet) of gas reserves. This would lead to increase in domestic supply of natural gas, the note points out. The note pointed out that investment in exploration and development plan declined in the last few y
Tag: output
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NMDC reduces price of iron ore for July
Considering tepid demand in the monsoon season, public sector mining major NMDC reduced prices of iron ore by Rs 100-200 per tonne for July. While the company decided to cut the price of lumps by Rs 200 per ton, it reduce the price of fines by Rs 100 a ton for July, media reports indicate. Following the decision, which is reportedly taken at the company's recent board meeting in Hyderabad, iron ore l
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ONGC to invest Rs 35 bn to redevelop gas field
After discovering gas in the southern part of the South Bassein field, Oil and Natural Gas Corporation (ONGC) decided to undertake redevelopment programme at a cost of Rs 3,513 crore in the area. Under this programme, the firm would set up a new platform, drilling new wells, subsea systems etc. The additional gas will come on stream in the next 2-3 years time after the wells are
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Gas price hike may fetch $2.2 bn more income to govt
A report by brokerage firm Bank of America Merrill Lynch shows that government may get an additional revenue of $2.2 billion owing to its decision to double domestic natural gas price. The government would use this additional revenue, which it may get through higher taxes and profit, to fund rise i
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Kazakh govt’s move dashes ONGC’s hope on Kashagan field
The Kazakh government exercised its right of first refusal (ROFR) or pre-emption rights to acquire the 8.4 per cent stake held by ConocoPhillips in Kashagan oilfield. In November 2012, India's ONGC decided to buy ConocoPhillips' 8.4 per cent stake in Kazakhstan's biggest oilfield, Kashagan for $5 billion. But, according to a law in Kazakhstan, the national government has the ROFR that allowed it an option to buy the stake at the price agreed between ONGC and Con
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Steel output rises 6% for SAIL in June quarter
During Apr-Jun 2013, output of saleable steel rose 6 percent to 3.2 million tonne (mn t) from the year-ago period for Steel Authority of India (SAIL). Production of value added steel touched the best ever Q1 mark, at 1.28 mn t, a year-on-year growth of 4 percent. Across the company's various units, new projects worth around Rs 2,700 crore commenced operation betw
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CAG may study impact of price hike on RIL
Media reports indicate that the Comptroller and Auditor General (CAG) would study the impact of the recent hike in the price of natural gas on the financial position of Reliance Industries (RIL). For natural gas sourced from RIL's KG D6 basin, the hike in the price would be effective from April 2014, when the contractual price agreement between the firm and the government expires
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Govt may not wait for Parliament nod for bill
The government has decided not to wait for the passage of the Coal Regulatory Bill in Parliament during the Monsoon session and instead go ahead with notifying setting up of the Coal Regulatory Authority (CRA) through an executive order, reports indicate. Some reports suggest that the government may resort to the executive order route to adopt the coal regulatory bill, thereby superseding the time-consuming Parl
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India steel output rises 3% in 5 months to May
Data from the World Steel Association (WSA) shows that India's steel output rose 3 percent to 33.5 million tonne during the first five months of this year (Jan-May 2013). This is well above the world average growth rate of 2.1 percent at 658 million tonne. In May 2013, India's steel output expanded at a lower rate of 1.5 percent as against the global growth rate of 2.6 percent. During the month, India produced 6.73 million tonn
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RIL relinquishes 2 gas fields at KG Basin
Owing to non-lucrative natural gas prices, Reliance Industries (RIL) relinquished two natural gas fields at the KG Basin, media reports indicate. After RIL discovered gas in the two blocks, it took them to the Directorate General of Hydrocarbons (DGH) to declare them commercially viable — declaration of commerciality, in jargon