Cairn quiet about MoU for Rajasthan refinery

Vol 9, PW 20 (26 Jan 06) News in Brief

Cairn Energy is increasingly irritated at reports that it is about to sign two MoUs with ONGC: for a refinery in Rajasthan and for the supply of crude from Mangala to ONGC-owned Mangalore Refineries.

Were in discussions with ONGC about lots of things, says Cairn. But until something is signed its foolish to talk about it.

Adds an analyst: MRPL has been nominated for Mangala crude. A COSA (Crude Oil Supply Agreement) for it will happen sooner or later.

But a refinery is something else. Raha wants it but its a secondary issue for Cairn.

In private, we hear Cairn is having a hard time understanding Rahas mind. Cairn doesnt know what he wants, we hear.

Why is he insisting on a MoU Cairn doesnt have the money to fund a refinery. Cairn chairman Bill Gammell was in Rajasthan last weekend for a BBC World documentary.

Hes just came, we hear. I doubt hell be back for a while at least.

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