Signals, Powered By EquityPandit
According to the Chairman of Vedanta Ltd, Anil Agarwal, the company is said to invest US$ 4.1 billion to boost oil output from its flagship Barmer block in the desert state of Rajasthan to over 400,000 barrels per day (bpd) in 2021.
Agarwal told reporters, “In 2-3 years it will be 450,000 bpd. We are investing almost 300 billion rupees to reach there.” Agarwal also added that the oil output from the block would rise from about 250,000 bpd currently to more than 300,000 bpd next year.
Agarwal further stated, “I am looking for more and more competition to come. I want at least 10 more players to come. This market will be better than foreign markets.” “Foreign players will not come until and unless they get international prices. Today also they (the government) set the price, and which is so discouraging for the international players to come” he claimed.
The company also plans to invest Rs. 30 to 40 billion in the exploration phase for the new blocks. Whereas the Indian unit of diversified mining group Vedanta Resources Plc, Vedanta Ltd, wants to increase its operations in order to contribute at least 1 per cent to the nation’s planned $5 trillion economy by 2025, according to the Chairman.
According to the country’s top refiner, Indian Oil Corp. India’s crude oil demand is forecasted to grow to 500 million tonnes per year by 2040, meanwhile, the country produces an average of 720,000 bpd oil.
