Mining Oil and Gas Exploration New Investment in India

Public sector oil companies would invest Rs 229,071.5 crore in oil and gas exploration, fuel retailing, refineries and petrochemicals, during the 11th Plan Period (2007-2012).

In a written reply in Lok Sabha, minister of state for petroleum and natural gas, Dinsha Patel, said Rs 150,932.49 crore would be spent on oil and gas exploration in India and abroad, Rs 62,582.10 crore on refining and marketing and Rs 15,321 crore on petrochemical business.

Oil and Natural Gas Corp (ONGC) will invest Rs 75,983.77 crore in domestic E&P while its subsidiary ONGC Videsh Ltd has budgeted Rs 45,332.87 crore in overseas oil and gas hunt. Oil India Ltd has earmarked Rs 13,439.02 crore and GAIL India Rs 10,326.83 crore, the minister said.

Indian Oil Corp has planned an investment of Rs 28,567.75 crore in refining and marketing in 2007-12, Bharat Petroleum Rs 11,344.80 crore and Hindustan Petroleum Rs 8,714 crore. IOC also plans to invest an additional Rs 11,844.10 crore in petrochemical plans while GAIL has projected Rs 1,618 crore.

To a separate question, Patel said IOC, BPCL and HPCL plan to set up 1,830 new petrol stations in 2008-09.

Of these, IOC would set up 930, HPCL 498 and BPCL 380. He said oil retailers are at present operating 306 auto LPG dispensing stations in the country. They would add another 158 next year.

"Auto LPG sale during April-January was 170,000 tons as against 108,000 tons during the corresponding period of last year, showing a growth rate of 57.4%," he said.

The government, he said, has not given approval for use of domestic LPG in vehicles. As per the auto-LPG Control Order, only imported or import-substituted auto LPG can be used in vehicles.