Govt to give 60% stake in ONGC, OIL fields to private companies
The oil ministry is unhappy with the near stagnant oil and gas production and believes giving out the discovered fields to private firms would help raise output as they can bring in technology and capital. Photo: Bloomberg
Nearly 25 years after Oil and Natural Gas Corp. Ltd’s (ONGC’s) prime oilfields were privatized, the oil ministry has identified 11 more functional oil and gas fields of the state-run firm for handing over to private firms to raise output.
The oil ministry is expected to approach the Union Cabinet to allow private companies take 60% stake in producing oil and gas fields of national oil companies, ONGC and Oil India Ltd (OIL), with the view that they would raise production above the baseline estimate.
Credit: livemint.com