new Delhi: Cairn Oil End Gas, a unit of Vedanta, will spend up to $4 billion to more than triple its production over the next three years, as higher prices make the investment attractive.
India’s Largest Non-State Producer, Controlled by Billionaires Anil AgarwalThe country plans to dig more wells to explore new oil and gas reserves in its 51 blocks, Cairn’s deputy chief executive officer, Abrun Sah, said in an interview to Bloomberg TV on Friday.
“We aim to reach production of half a million in a very short time by making these investments,” he said. “This investment is not just a number, but the projects we have. We are looking at large-scale exploration over the next few years to reach these levels.”
Cairn’s plan differs from that of producers around the world, most of whom are shying away from investing in oil and gas, causing prices to rise sharply as demand exceeds supply.
This is affecting import-dependent nations such as India, which meets 85% of its oil needs through foreign purchases, and is prompting the government to push explorers to expand their oil exploration. Is.
The company produces a quarter of India’s total oil production and aims to increase its contribution to the country’s total production by 50%, according to its website.
Cairn’s average production during the three months ended December 31 was 159,000 barrels of oil equivalent.
“We are working with the government to see how policies can be adapted in oil and gas, and production can be scaled up to where it is necessary to manage domestic needs,” Sah said. can be sustainable.”
The company has invested about $2.5 billion over the past three years, when large producers around the world halted spending after falling oil prices.
Cairn has made some recent oil and gas discoveries, and expects more to strike as it advances exploration.
The oil producer is committed to meeting its carbon-neutral target of 2050 even with increased fossil fuel production.
“We believe that when we increase production of oil and gas, it can be done in a sustainable manner,” Sah said. “These projects will take a significant amount of technology and investment to achieve the net-zero ambition by 2050.”
India’s Largest Non-State Producer, Controlled by Billionaires Anil AgarwalThe country plans to dig more wells to explore new oil and gas reserves in its 51 blocks, Cairn’s deputy chief executive officer, Abrun Sah, said in an interview to Bloomberg TV on Friday.
“We aim to reach production of half a million in a very short time by making these investments,” he said. “This investment is not just a number, but the projects we have. We are looking at large-scale exploration over the next few years to reach these levels.”
Cairn’s plan differs from that of producers around the world, most of whom are shying away from investing in oil and gas, causing prices to rise sharply as demand exceeds supply.
This is affecting import-dependent nations such as India, which meets 85% of its oil needs through foreign purchases, and is prompting the government to push explorers to expand their oil exploration. Is.
The company produces a quarter of India’s total oil production and aims to increase its contribution to the country’s total production by 50%, according to its website.
Cairn’s average production during the three months ended December 31 was 159,000 barrels of oil equivalent.
“We are working with the government to see how policies can be adapted in oil and gas, and production can be scaled up to where it is necessary to manage domestic needs,” Sah said. can be sustainable.”
The company has invested about $2.5 billion over the past three years, when large producers around the world halted spending after falling oil prices.
Cairn has made some recent oil and gas discoveries, and expects more to strike as it advances exploration.
The oil producer is committed to meeting its carbon-neutral target of 2050 even with increased fossil fuel production.
“We believe that when we increase production of oil and gas, it can be done in a sustainable manner,” Sah said. “These projects will take a significant amount of technology and investment to achieve the net-zero ambition by 2050.”