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Regular-article-logo Sunday, 15 February 2026

CAG finds holes in OIL, ONGC reports

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OUR CORRESPONDENT Published 09.06.11, 12:00 AM

Guwahati, June 8: Suppression of production figures by Oil India Ltd and Oil and Natural Gas Corporation Ltd (ONGC) in Assam has resulted in short payment of royalty on crude oil and natural gas to the tune of Rs 164.48 crore.

This was revealed in the CAG report (revenue receipts) on Assam government for the year ending 2010.

The report was tabled on the floor of the Assembly today.

In its report CAG said it found from the monthly returns of net production of crude oil and condensate obtained from the nine oil fields in the state furnished by Oil India Ltd that production of crude oil and condensate from April 2004-2009 was 177.25 lakh kilolitre on which crude was paid.

“We cross checked these figures with those depicted in the annual accounts of the lessee and found that the actual production was 179.52 lakh kilolitre from those nine oil fields,” the report said.

The suppression of production of 2.77 lakh kilolitre crude oil and condensate leading to short payment of royalty of Rs 72.40 crore including interest of Rs 14.05 crore.

The geology and mining department stated in August 2010 that the actual production of crude oil was 177.24 lakh kilolitre on which royalty was paid.

Similarly ONGCL submitted return of net production of crude oil for 65.39 lakh tonnes from 14 oil fields for period from 2004-05 to 2008-09 whereas the net production figure was 66.74 lakh metric tonne as depicted in the records of the ministry of petroleum.

“This resulted in suppression of production of 1.35 lakh tonnes and short payment of royalty of Rs 46.68 crore including interest of Rs 9.54 crore to the state government,” it said.

The department stated that the matter was taken up (August 2010) with the ONGCL to clarify the position on difference between the two sets of figures.

Similarly there was difference in natural gas figures which led to short realisation of royalty to the tune of Rs 49.40 crore including interest of Rs 9.81 crore.

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