Noida: India’s oil secretary said on 20 June he would seek Cabinet approval for the sale of a 10% stake in state-run explorer Oil India Ltd. by the end of July.
“Ten percent disinvestment note is almost ready, we are taking opinions from other ministries. We hope to move cabinet notes by July-end,” M.S. Srinivasan told reporters.
Oil India, 98.13% owned by the government, has said it aims to invest Rs 15,000 crore ($3.7 billion) over the next five years on exploration, including for acquisitions overseas along with state-run refiner Indian Oil Corp.
Employees hold the remaining 1.87% stake in Oil India.
In March, Oil India Finance Director T.K. Ananth Kumar said the company hoped an initial public offering of shares would raise Rs 1500 crore, which it could use to fund expansion plans.
India has budgeted to raise Rs 1,651 crore through stake sales in state-run companies in the fiscal year ending in March 2008.