OIL strikes gas in Assam

Oil India (OIL) has made a major gas discovery in the Chandmari structure in Assam. The in-place natural gas reserves in the structure are estimated at one trillion cubic feet (TCF).

Petroleum Minister Ram Naik was informed of the discovery on Monday by OIL officials, while presenting an interim dividend of Rs 126 crore for 2003-04. OIL's board had declared an interim dividend of 60 per cent on the paid-up capital of the company for 2003-04 against 40 per cent paid during the previous year.

The company was taking a number of strategic initiatives, including the laying of a product pipeline for the evacuation of products from Numaligarh Refinery and vertical integration through increased stake in NRL, under the new exploration licensing policy.

Naik was informed that the company's physical and financial performance was likely to see an improvement over the last year with both crude oil and gas production increasing by four to five per cent.