The government's decision to accord security clearances to 25 oil and gas blocks on Monday has opened up Rs. 30,000 cr worth of investment opportunities in the sector.
Reliance Industries Ltd (RIL) chairman Mukesh Ambani and BP chief Bob Dudley along with others met Prime Minister Manmohan Singh last week to fast track the decision-making process on issues including pricing of domestic natural gas as well as the coal-bed methane gas.
"The 40-odd energy projects in the power and oil and gas space cleared by the Cabinet Committee on Investments is a clear indication that the government is taking all out measures to boost the industry and investors sentiment," a senior PMO official told HT.
Besides the 25 oil and gas projects, another 13 power projects involving investments worth Rs. 33,000 crore were cleared. "The combined investment opportunity is Rs. 60,000 crore-plus," the official added.
While the official statement did not give details of the oil and gas blocks cleared, the 31 blocks where restrictive conditions were imposed included 13 of RIL-BP combine, 15 of Oil and Natural Gas Corp or its lead consortium, two blocks of Santos of Australia and one block of Cairn India-led consortium.
The defence ministry had imposed stringent conditions for these blocks, asking companies not to locate pipelines or structures on sea surface in the blocks cleared.