Wednesday, July 2, 2025
  • Home
  • About us
  • Privacy policy
  • Advertise with us
  • Contact us
Fii News Logo
No Result
View All Result
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports
Newsletter
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports
Fiinews
No Result
View All Result
Home Economy

‘India a bright spot’ in gloomy energy industry

Fiinews by Fiinews
February 1, 2016
in Economy
Reading Time: 2 mins read
A A
0
0
SHARES
10
VIEWS
LinkedinShare on Twitter

0:00

DBS_Generic Awards_A4mm
India is a bright spot in the gloomy global energy industry with oil giant ONGC taking a lead in upstream activities amidst the depressed oil price environment which has forced others to cut costs and review or shelve projects, reported the Press Trust of India Ltd (PTI).
As a market, the Indian energy demand growth is driven by the strong economic performances and the increasing middle class spending while state-run Oil and Natural Gas Corporation (ONGC) has taken a lead in calling tenders for chartering of offshore drilling rigs and support vessels of upstream projects, noted Jon Fredrick Muller, senior project manager at the Oslo-based Rystad Energy AS.
“This makes India a bright spot for the industry,” he told PTI at the Singapore Offshore Finance Forum, organized by MarineMoneyOffshore and ABN AMRO on Thursday.
Delegates at the one-day forum noted the significant increase in ONGC’s latest budget while national oil companies in other countries have announced cuts in upstream spending and are reviewing field developments, albeit putting some on hold.
ONGC has budgeted Rs 362,490 million for 2015-16, up from Rs 299,975 million in 2014-15.
“ONGC has not cut down Exploration & Production spending like most other national oil companies have done so. They have kept their demand up, they have needs for their deep-water drilling equipment — floaters and jack-ups for shallow water, as well as Offshore Support Vessels,” said Geir Sjurseth, managing director, global head for offshore finance at DVB Bank SE.
“They (ONGC) are issuing tenders which have attracted both national and international companies that would like to supply their equipment, as longer term employment opportunities in other markets are difficult,” he said.
The above means that ONGC are enjoying very attractive rates because rates have come down significantly because of the many international bidders of these tenders for rigs and services for exploration and production activities,” said Sjurseth.
He estimates rates for chartering and leasing rigs have dropped by 30-40 per cent over the past year and close to 50 per cent over the past 18 months.
“ONGC have charter/hired offshore rigs and vessels at 30-40 per cent lower rates than previous contracts,” said Manav Kumar, president and director of Singapore-based Dynamic Drilling Holdco Pte Ltd.
With cost of services, rigs, oil field material, platforms and new constructions being very low, ONGC must utilize this opportunity to boost capital expenditure activities to raise production and reserve appreciation in the future, the delegates pointed out. fii-news.com
ShareTweetShare

Related Posts

FICCI
Economy

Economy: FICCI welcomes RBI’s decision to keep repo rate unchanged at 4%

by Fiinews
April 10, 2022
0
11

Mehta sees escalation in geo-political stress having some impact on India FICCI President Sanjiv Mehta has welcomed the Reserve Bank...

CIPET
Economy

Economy: India needs to connect resources to reduce logistics cost

by Fiinews
March 1, 2022
0
12

Govt working on framing industry-friendly policies for petrochemicals sector, says Khuba India needs to connect all resources and find ways...

PIB, CIRC

Market: e-commerce industry seen growing by 84% to $111bn by 2024

February 28, 2022
11
Ashwini Shrivastava

Special Report: ‘Decoding Indian Babudom’: book suggests ways to achieve good governance

February 26, 2022
11
Ministry of Finance, PIB

Economy: Market participants urged to strive for efficiency and transparency

February 23, 2022
10
PIB

Investment: India-UAE signed CEPA to boost bilateral trade to $100bn in five years

February 19, 2022
10
SBI YONO

POPULAR NEWS

  • Cristina Dnv

    Projects: Indian yards set to build green ships, says DNV expert

    0 shares
    Share 0 Tweet 0
  • Market: Indian-origin UGF scales heritage consumer brands globally

    0 shares
    Share 0 Tweet 0
  • Technologies: Royal Diamond sponsors aerspace Industries’ drones in UAE

    0 shares
    Share 0 Tweet 0
  • Investments: Foreign investors see India as long-term destination for fund placings

    0 shares
    Share 0 Tweet 0
  • Markets: Blue Dart maintains positive outlook on India

    0 shares
    Share 0 Tweet 0

Fiinews.com features through news articles on business opportunities in the Indian market for the benefits of foreigners. It is also a platform for international businesses to showcase through elaborate articles on their products & services to the Indian consumers and corporations exploiting industrialisation of the country.

7Clicks Media is a Singapore based Media & PR company offering over 100,000
impressions via our targeted communication strategy.

It is led by editor-in-chief Gurdip Singh who has worked over 45 years reporting on
Asian businesses.

Recent News

  • Market: Minister discusses opportunities in Dubai
  • Tech: Military-grade integrity for digital space
  • Tech: SatSure-Dhruva Space to work on value chain
  • Tech: WaveX invites startups to create AI-solution
  • Export: Govt to facilitate easy trade environment

Pages

  • About US
  • ADVERTISE ON FIINEWS.COM
  • CONTACT US
  • EVENTS
  • FII-NEWS.COM PDF ARCHIVE
  • Home
  • News
  • PRIVACY POLICY

Subscribe to Newsletter

  • About
  • Advertise
  • Careers
  • Contact us

© 2024 FIINEWS - Design and developed by 7clicksmedia.

No Result
View All Result
  • Tenders
  • Projects
  • Markets
  • Manufacturing
  • Investment
  • Technology
  • Exports

© 2024 FIINEWS - Design and developed by 7clicksmedia.