Page 32 - Plastics News September 2021

BUSINESS NEwS

CCI Approves GAIL’s 26 Per Cent Stake In ONGC Q1 Net Profit

ONGC Tripura Up 80% at Rs 4,335 Cr

tate-owned
SOi l and
Natural Gas
Corp (ONGC)
net profit soared
by nearly 800
% in the first
quarter of the
current fiscal
after more than
doubling of oil prices compensated
for a fall in production. Net profit
in April-June at Rs 4,335 crore was
he Competition Commission of Oil and Natural Gas Corporation, 772.2 % higher than Rs 497 crore in
TIndia (CCI) approves acquisition IL&FS Group and Government of Q1 of previous fiscal when demand
of ONGC Tripura Power Company Tripura (GoT) formed by entering into as well as price had plummeted due
Limited Target) by GAIL (India) Limited a Shareholders' Agreement (SHA) on to coronavirus-related lockdown, the
(Acquirer) under Section 31(1) of the September 18, 2008 to implement a company said in a statement. The firm
Competition Act, 2002 The proposed 726.6 MW Combined Cycle Gas Turbine got $65.59 for every barrel of crude oil
combination relates to the acquisition (CCGT) thermal power plant at Palatana, it produced and sold in the first quarter
of 26% equity share capital of Target by Tripura," Ministry of Corporate Affairs of the 2021-22 fiscal as compared to
the Acquirer from IL&FS group. entities. said in a statement. The stakeholders $ 28.87 per barrel realisation in April-
The proposed combination falls under in the Palatana project include state- June 2020. Gas price was lower by a
Section 5(a) of the Competition Act, owned Oil and Natural Gas Corp. quarter at $1.79 per million British
2002. CCI tweeted saying, "Commission Ltd (ONGC), IL&FS and the Tripura thermal unit. The company produced
approves acquisition of 26% equity stake government. While ONGC, IL&FS and nearly 5 % less crude oil at 5.4 million
tonnes in the quarter while natural gas
in ONGC Tripura Power Company by Tripura government hold 50%, 26% output was 4.3% lower at 5.3 billion
GAIL (India)." GAIL is set to acquire the and 0.5% respectively in the project that cubic metres. Of the oil production,
stake from the IL&FS group companies supplies electricity to the northeastern ONGC produced 4.6 million tonnes
IL&FS Energy Development Company states, India Infrastructure Fund II is an from fields it operates and another
Ltd and IL&FS Financial Services investor and holds the balance 23.5% 0.55 million tonnes from those in joint
Ltd. The Acquirer was incorporated in stake in the gas fuelled project. State- ventures with other partners. Own
August 1984 as a Central Public Sector owned Bharat Heavy Electricals Ltd production was down 4.2 % and joint
Undertaking (PSU) under the Ministry (Bhel) built the project. The Tripura venture output fell 2.8 %. ONGC's
of Petroleum & Natural Gas (MoPNG). power project was planned as it was own gas production was down 5.3 %
Acquirer is a listed public sector company economically unviable to transport gas at 5.1 billion cubic metres while that of
with diversified interests across the natural from the North-East to other parts of joint venture fields was up by a third to
gas value chain of trading, transmission, the country. The 726.6 MW project is 0.2 billion cubic metres. Overall the gas
LPG production & transmission, LNG an integral part of the government’s output was down 4.3 % at 5.3 billion
re-gasification, petrochemicals, city efforts to develop infrastructure in the cubic metres. Gross revenue rose 77 %
gas, E&P, and certain small renewable north-eastern region and has been touted to Rs 23,022 crore. In the mean while
energy projects in Rajasthan, Gujarat, as the single largest investment in north- ONGC was also declared as the Best
Karnataka and Tamilnadu. “The Target east India.The gas to the Tripura project Employers among Nation Builders at
is a special purpose vehicle between is supplied by ONGC’s 55 km-pipeline. a virtual ceremony organised by the
Great Place to Work.

32 PLASTICS NEWS SEPTEMBER 2021 33 PLASTICS NEWS SEPTEMBER 2021