ONGC subsidiary to be merged with OIL: AGP

Opposition Asom Gana Parishad today demanded that the proposed ONGC subsidiary - Assam Assets - to be amalgamated with Oil India Ltd (OIL) to make it a viable company.

Opposition Asom Gana Parishad today demanded that the proposed ONGC subsidiary - Assam Assets - to be amalgamated with Oil India Ltd (OIL) to make it a viable company.

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Opposing the creation of a subsidiary within ONGC consisting of the oilfields in Assam, AGP General Secretary Sarbananda Sonwal said, "The proposed subsidiary should be merged with OIL."

Asserting the subsidiary creation proposal was discriminatory, Sonowal said, " The focus should instead be on increasing Assam Assets' production level."

Lack of management had caused ONGC to reduce its production to 1.1 million metric tonne per annum from 3 mmtpa in Assam Assets, he said.

Meanwhile, ONGC Onshore Director Ajit Hazarika told PTI that there was no proposal for separating Assam Assets from ONGC and that it was exclusively for Assam and would not be privatised.

All Assam Students Union (AASU) supported by Telpathar Sangram Samity (TSS) was protesting the move by the petroleum and natural gas ministry to demote ONGC-Assam Assets into a subsidiary of the oil major "in a calculated move towards privatisation".