| OIL chairman and managing director S.K. Srivastava at the meeting in Duliajan on Saturday. Telegraph picture |
Duliajan, Sept. 21: Oil India Ltd has achieved the highest-ever gas production but the company failed to meet the target in crude oil production during the fiscal 2012-13.
Disclosing this, the chairman and managing director of OIL, S.K. Srivastava, said at the company’s annual general meeting held at its field headquarters here today, that annual gas production was 2639.21 million metric standard cubic meters (MMSCM) which is an all-time high.
The company had a target of 3.95 million metric tonnes (MMT) of crude oil production this fiscal, but has achieved only 3.701 MMT.
“The main reason for shortfall in crude oil production, however, was direct, indirect and consequential losses arising out of a number of unforeseen problems, many of which were beyond the control of the company,” Srivastava said.
He said the turnover of the company was the highest so far and stood at Rs 9947.57 crore as against Rs 9863.23 in the last fiscal while the profit after tax touched a new peak of Rs 3589.34 crore — an increase of 4.13 per cent over the previous year.
“As a result, the company declared dividend at 300 per cent. Improved financial performance has helped OIL to increase its net worth to Rs 19,212 crore as against Rs 17,721 crore during the previous fiscal,” he said.
Speaking about OIL’s highest ever production and sale of natural gas of 2639.21 MMSCM and 2080.23 MMSCM respectively during the year, Srivastava said the company is working towards building up its gas production potential from the current 7.2 MMSCMD to a level of 10 MMSCMD in the Northeast by drilling of non-associated gas wells, work on shut-in gas wells and adopt new well completion technology.
Srivastava said the company has undertaken a project for upgrade of all the pump stations at an estimated cost of Rs 871.35 crore since many of the facilities associated with the pipeline are more than 50 years old.
OIL pipelines operate a 1157-km-long crude oil line of 5.5 million metric tonne per annum (MMTPA) capacity that transports crude produced from oilfields in Upper Assam to the public sector refineries at Numaligarh, Guwahati and Bongaigaon.
“The 600km pipeline segment between Bongaigaon and Barauni has been re-engineered to enable oil flow in either direction and is now transporting crude from Barauni to Bongaigaon. The pipeline runs through the states of Assam, West Bengal and Bihar traversing hostile terrain, dense forests and cuts across 78 rivers including the mighty Brahmaputra,” he said.
Reviewing the overseas activities of the company, Srivastava said the company now has overseas presence in eight countries, with acreage of 33,657 square km expansion plans for developing discovered fields there.
He said OIL, along with Indian Oil Corporation Ltd (IOCL) have jointly acquired 20 per cent and 10 per cent respectively in Carrizo Oil & Gas Inc’s liquid-rich shale assets in the Denver-Julesburg (D-J) basin in Colorado, USA.
Srivastava said in Gabon a discovery had been made recently and this was the first discovery of OIL in an overseas venture as an operator. “We have reasons to celebrate,” he added.
The company had made a total of nine hydrocarbon discoveries in Upper Assam this year against seven discoveries in the region the previous year, he said.