MRPL to get crude oil from Rajasthan soon

MRPL to get crude oil from Rajasthan soon

Committee constituted to study feasibility of establishing refinery in Rajasthan

Addressing a press conference on the sidelines of the MRPL’s 21st annual general meeting here on Saturday, he said MRPL is one among the companies nominated by the government to buy the initial output from Mangala in 2009-10 and 2010-11. Prime Minister Manmohan Singh had inaugurated the Cairn India’s debut production from the Mangala oilfields in Rajasthan on August 29, where Oil and Natural Gas Commission (ONGC) also has a share.

Refinery at Rajasthan
Replying to a query, Sharma who is also the Chairman and Managing Director of ONGC said a high power committee has been constituted to study the feasibility of establishing a refinery in Rajasthan.

Rajasthan Chief Minister Ashok Gehlot had appealed the ONGC to come up with a refinery in his state during the inaugural of Cairn’s crude oil production. However, Sharma had stated that the refinery would be set up only if it was found viable. “It requires adequate fiscal incentives for the project since it is a challenging proposal. The refinery can be set up either through a special purpose vehicle or a joint venture,” Sharma clarified.

Answering another query on putting up a single point mooring (SPM) in New Mangalore Port Trust (NMPT), he said a detailed feasibility report has been sent to the Ministry of Shipping in this regard, and the MRPL is expecting an approval soon. The special jetty will come up at a distance of 16 km from the shore. He also said that they are a responsible corporate, and they will take corrective and preventive measures though aberrations do happen sometime.

Referring to the recent shutdown at the MRPL, Managing Director U K Basu said the company would be investing Rs 25 crore for adopting an advanced technology to prevent any such incidents in the future. “A committee has been formed in this regard. The annual general meeting has approved its recommendations which will be implemented to prevent the future incidents,” he said. MRPL Director (Finance) L K Gupta said the annual general meeting has approved a dividend of 12 per cent for the current year.