New Delhi [India], September 18 : Oil India Limited is significantly expanding its offshore exploration activities with a strong focus on deepwater and ultra-deepwater basins, while also initiating cost optimisation efforts to safeguard margins amid global price fluctuations, said Ranjit Rath, Chairman & Managing Director of the company.
"As far as our exploration initiative is concerned, we have today got 1,12,000 square kilometres of exploration acreage, out of which 40,000 square kilometres of acreage is in the deep and ultra-deep water of the Mahanadi Basin and KG Basin," said Rath.
"We are going to kick-start the seismic data acquisition for 2D and 3D of these deep and ultra-deepwater basins," he added.
Rath said that Oil India Limited is in talks with international players for collaboration.
"We are in talks with international oil companies seeking collaboration for technology sharing," he added.
Highlighting ongoing activities, Rath stated, "As we speak, our exploration activities in the shallow water of the Andaman-Nicobar basin are underway, where we intend to drill four wells. First well, we drill 3,800 meters. The second well is going to drill 4,200 meters. And very soon, we are going to start another offshore exploration campaign in Kerala-Konkan basin."
On the market outlook, Rath provided a price estimate while stressing the need for internal efficiency. "We foresee a crude oil price point outlook of USD 65 plus or minus. Therefore, we have already initiated cost optimisation and operational efficiency initiatives within the organisation so that the profitability and margins are maintained," he said.
Speaking during the 66th Annual General Meeting, he added, "As India marches towards achieving energy independence by 2047, envisioned by our Hon'ble Prime Minister Narendra Modi Ji, your company remains steadfast in aligning its efforts with the national priorities of 'Atmanirbhar Bharat' and 'Viksit Bharat'. Together, we have made tremendous strides in contributing to India's energy security and fostering nation's socio-economic development."