| UK-based oil major Cairn Energy is planning to invest in the refining sector in India. The company is studying various options and discussions with domestic companies for possible tie-ups are in progress, say sources. |
| Mike Watts, director - exploration and new business, Cairn Energy, told Business Standard that the company was keeping its options open as far as its refining foray in India is concerned. |
| He, however, refused to divulge which all domestic companies Cairn is talking to. Cairn had announced its plans to sell at least 25 per cent of its shares in its Indian business through an initial public offer (IPO). The IPO might happen before oil production commences in its Rajasthan fields in 2008. |
| The company's oil discovery in Rajasthan, where the reserves have been pegged in excess of 3.5 billion barrels, is considered the biggest in the country in two decades. |
| The company has also upgraded recoverable reserves from Mangala, Bhagyam and Aishwariya "� three of the dozen discoveries in the Rajasthan block "� by 20 per cent to 606-795 million barrels. |
| When asked about Cairn's interest in Oil and Natural Gas Corporation's (ONGC) new refinery at Rajasthan, Mike Watts said, "Our participation seems unlikely at the moment. However, we are keeping our options open." |
| According to sources, ONGC has plans to set up a new company to construct the proposed 7.5 million tonne refinery in Rajasthan. |
| The Refinery project will be a public-private venture with ONGC, MRPL and the Rajasthan government together holding 49 per cent, with the remaining by financial institutions. |
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