OIL loses ` 50-60 cr due to bandhs, road blockades

OIL loses ` 50-60 cr due to bandhs, road blockades
Oil India Ltd incurs an annual loss of Rs 50-60 crore in oil and gas production in Assam due to disturbances caused by bandhs and road blockades, the company’s CMD Utpal Bora said on Sunday.

Last year, 2,000 tonnes of oil and gas worth Rs 45 crore was lost due to these two reasons, Bora told a press conference here.

The oil fields produce 100 kilolitres of oil per day and if the production is stopped, they cannot be restarted easily, he said.

“We are committed to the development of the Northeast and we need the support of the people,” he added.

Over 100 tonnes of oil is also lost when miscreants close the oil wells by turning off the knobs in remote areas, steal their condensers and cut oil pipelines, he said.

“As the CISF and our own securitymen are engaged in protecting our installations where machines, offices and residential colonies are situated, we have sought security from the state government,” Bora said.

He said that during a meeting with Chief Minister Sarbananda Sonowal yesterday, Sonowal had assured of deploying Assam Police battalions whenever a need arose.

“On oil production, he said, OIL produced 3.24 million metric tonnes against 3.8 mmt during 2011-12.

He said that OIL had 30 per cent of “non flowing wells” which needed intervention for ‘stimulation’ for sustained oil production.

An OIL official involved in oil drilling said efforts were on to reduce the 30 per cent ‘non flowing’ oil wells to 10 per cent with 172 such wells ‘stimulated’ this year against 150 last year.

The official also said that in the last 3-4 years, 40-50 new oil wells had been drilled per year with 53 new wells targetted this year. 

Rs 50 cr OIL Start-Up fund for new ideas in oil & gas sector

Oil India Limited (OIL) has set up an OIL Start-Up fund of Rs 50 crore to encourage new “out of the box” ideas related to the oil and gas sector, particularly in the Northeast.

The oil exploration major’s chairman-cum-managing director Utpal Bora today said in a press conference that the initiative was in line with the Centre’s ‘Start-up India’ initiative.

“The OIL Start-Up fund is to encourage students, young entrepreneurs and institutions to come out with out of the box ideas for the benefit of the oil and gas sector that is contributing enormously to the growth of the economy,” Bora said. The initiative was to create an ecosystem that was conducive for growth of start-ups in the oil and gas sector, which has a huge scope for application of technology-enabled ideas, he said.

“Currently the sector faces various critical challenges and new ideas are required to negotiate those challenges. OIL will be partnering with institutes of excellence in the Northeast like IIT-Guwahati to take this initiative forward, wherein the institutes will facilitate ‘idea incubation’ for carrying out studies and experiments,” Bora said.

The government-run company also plans to create a dedicated website for its Start-Up initiative, inviting applications with project ideas, besides inviting through newspaper advertisements in the region with special attention given to ideas from students in technical institutions and universities. 


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