Oil India can invest up to $65m without ministry approval

Vol 8, PW 9 (28 Jul 04) News in Brief
     

Indias junior explorer Oil India has been granted Schedule A status a move that enables the companys board to invest up to Rs300cr ($65m) without ministry approval.

Until now Oil Indias board could only approve investments of up to Rs100cr ($21.5m) under its inferior Schedule B status. Oil India received notice of its enhanced status from the oil ministry on 5th July, following approval from the Public Enterprises Selection Board and the Department of Public Enterprises.

On 6th January, Oil India wrote to the ministry seeking the increased powers in line with Indian Oil, ONGC, GAIL and Bharat Petroleum all of who enjoy Schedule A status. Oil Indias enhanced status will also benefit the companys employees who can claim salaries in line with their counterparts in other state-run oil companies.

In 2002-03, Oil India produced 2.95m tonnes of oil and reported turnover of Rs 2,896.8cr ($624m).