IOC, HPCL, MRPL to purchase crude oil from Cairn’s Raj fields

IOC, HPCL, MRPL to purchase crude oil from Cairn’s Raj fields
PTI
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First Published: Thu, Aug 06 2009. 02 36 PM IST
Updated: Thu, Aug 06 2009. 02 36 PM IST
New Delhi: The government has nominated Indian Oil Corp (IOC), Hindustan Petroleum Corp (HPCL) and Mangalore Refinery and Petrochemicals (MRPL) for purchasing crude oil from Cairn India’s Rajasthan fields.
Minister of state for Petroleum and Natural Gas Jitin Prasada in a written reply to a question in the Lok Sabha said that IOC and MRPL have been allocated 0.20 million tonnes each in 2009-10, while HPCL would offtake 0.30 million tonnes of Rajasthan crude.
In 2010-11, IOC would buy 1.5 million tonnes of the crude oil from the nation’s most prolific oil discovery in more than two decades, while MRPL would double its offtake to 0.40 million tonnes.
HPCL would take 0.50 million tonnes next fiscal, he said.
“The allocation of crude beyond the quantities of crude indicated above will be made after ascertaining the capacity of other public sector refineries to absorb the quality of crude produced from this oil field,” he said.
Last month, Cairn India said that it will be ready to start crude oil production from the Rajasthan fields in August and has concluded price negotiations with the government appointed offtakers.
Rajasthan is the largest onland oilfield discovered in more than two decades and will have a peak output of 8.75 million tonnes, contributing one-fifth of the nation’s current oil production.
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First Published: Thu, Aug 06 2009. 02 36 PM IST
More Topics: IOC | HPCL | MRPL | Cairn | Raj fields |