Cairn seeks Reddy, Modi help on pipeline | business | Hindustan Times
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Cairn seeks Reddy, Modi help on pipeline

business Updated: Mar 16, 2011 20:55 IST
HT Correspondent

Cairn India Ltd, the operator of India's largest onland oil producing field, has written to the petroleum minister Jaipal Reddy and Gujarat chief minister Narendra Modi seeking government's intervention to salvage its Rajasthan oil pipeline project.

The work on this pipeline projects has been stopped following charges by a local politician that Cairn officials tried to bribe him to secure a portion of land for the pipeline project.

Congress MP Vikrambhai Madaam had on Tuesday alleged in Parliament that Cairn India's officials offered bribes to him for acquiring the right of use for a portion of land for its pipeline project.

The Mangala Development Pipeline Project is being executed to carry the crude oil produced in the Rajasthan oil block being operated by the joint venture of ONGC and Cairn Energy.

Denying these charges, the company said "vested interests were trying to stall a project of national importance."

Cairn said it "follows a strict code of business ethics which is rigorously adhered to throughout the business and is applicable to all of its staff and contractors."

The project is the longest continuously heated and insulated pipeline in the world and will carry crude oil from the Mangala fields in Rajasthan to Salaya near Jamnagar in Gujarat.