Court rejects export of Barmer basin crude

Efforts by Cairn India Ltd. to export crude oil produced in the Barmer basin of Rajasthan have been rejected by the New Delhi high court.

Because state-owned companies are not buying all the production it produces in Rajasthan, the Vedanta Group company must sell to privately held Reliance Industries Ltd. and Essar Oil Ltd. at prices it says are 10-20% below international levels.

The Indian government opposes crude exports, arguing the country is not self-sufficient in oil.

Cairn India operates the Barmer basin fields under a production-sharing contract in which it holds a 70% interest with state-owned Oil & Natural Gas Corp. holding the remainder.

In court, the government argued the PSC doesn’t provide for sales abroad.

Production recently was about 200,000 b/d from Mangala, Bhagyam, and Aishwariya fields.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now


The Time is Right for Optimum Reliability: Capital-Intensive Industries and Asset Performance Management

Imagine a plant that is no longer at risk of a random shutdown. Imagine not worrying about losing...

Going Digital: The New Normal in Oil & Gas

In this whitepaper you will learn how Keystone Engineering, ONGC, and Saipem are using software t...

Maximizing Operational Excellence

In a recent survey conducted by PennEnergy Research, 70% of surveyed energy industry professional...

Leveraging the Power of Information in the Energy Industry

Information Governance is about more than compliance. It’s about using your information to drive ...