Who spiked Reliance-ONGC rig deal?

Vol 12, PW 22 (09 Apr 09) News in Brief
     

Independent ONGC director Dr.

Bakul Dholakia has refused to confirm or deny speculation that he was the sole dissenting voice against a proposed deal with Reliance to hire Transocean-owned deepwater drillship Dhirubhai Deepwater KG-I during its last board meeting on April 2. “Do you really expect me to answer your questionâ€‌ asked Dholakia when contacted.

“Why don’t you call the other independent directors to see what they sayâ€‌ Others dismiss talk that independent directors were responsible. “No independent director spiked the deal,â€‌ insists a witness to the board meeting.

“Pending elections and the company involved (Reliance) makes any decision difficult. Even the independent directors are scared.

â€‌ He adds: “ONGC must evaluate rig availability and Reliance’s rates before approving the deal.â€‌ Yet others are sanguine.

“Whether ONGC agrees to hire the rig or not is immaterial,â€‌ we hear. “The rig is coming in July and Reliance will have to start paying.

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