OIL RECORDS RECORD GAS OUTPUT
DIBRUGARH (Assam): Oil India Limited, country's second largest National ‘Navratna' E&P Company, in terms of total proved plus probable oil and natural gas reserves, held its 58th Annual General Body meeting at its Field Headquarters in Duliajan, Assam, on Saturday.
In his address to the shareholders, Chairman and Managing Director Utpal Bora shared the significant highlights of fiscal 2016-17 during which OIL achieved the highest ever production and sale of natural gas in the history of the Company. While natural gas production was 2937 MMSCM as against 2838 MMSCM during 2015-16, natural gas sales was 2412 MMSCM as against 2314 MMSCM during 2015-16.
Crude oil production in 2016-17 was 3.277 MMT as compared to 3.247 MMT during 2015-16 while Crude oil sales were 3.221 MMT as compared to sales of 3.237 MMT during 2015-16. He mentioned that, this year, the Company not only could contain last few years' fall in crude oil production but also achieve increase in production.
The turnover of the Company stood at Rs 9510.39 crore as against Rs 9764.87 crore in 2015-16 while the Profit after Tax (PAT) was Rs 1548.68 crore against PAT of Rs 2,301.67 crore during 2015-16. He mentioned that the profitability of the Company was affected mainly due to payment of differential royalty of Rs 1151.73 crore on crude oil for the period February, 2014 to March, 2016, as per Government directive. During 2016-17 the Company declared dividend at 142.50%.
Bora also mentioned about OIL'S substantial contribution both to the State and Central exchequer in terms of Cess, Royalty, Sales Tax etc. The contribution to the State Exchequer during the year was Rs 3011.94 crore and that to the Central Government was Rs 2928.18 crore. He also mentioned that it is a matter of great pride that OIL'S audited annual accounts have “Nil” comments from the Comptroller and Auditor General of India for the 15th year in succession.
Bora announced that OIL'S sound financial performance has enabled the Company to retain International credit ratings for the fourth consecutive year - Moody's “BAA2” (stable) (higher than sovereign rating) and Fitch Rating “BBB(-)“(Stable) (equivalent to sovereign rating). Also, the Company retained highest domestic ratings from CARE Ratings "aaa" (for long term facilities) “A1+” (for short term facilities).
On the Company's scenario, Bora mentioned that as on March 31, 2017, OIL is holding Participatory Interest (PI) in total of 09 NELP Blocks out of which OIL has the right of operatorship / joint operatorship in 06 blocks and as non-operator in 03 blocks. The Company is also holding 40 percent PI in JV block Kharsang PSC and 44.086% PI in PRE-NELP (JV) block AA-ON-94/1.
The CMD mentioned that OIL has started its High Pressure-high Temperature drilling campaign in the block KGONN-2004/1 and also drilled its first deepwater offshore well in block CY-OSN-2009/2.