• Re 1 hike in kerosene will save Rs 700 cr for system: ONGC

    In the light of the government hiking kerosene prices by 25 paise a litre, upstream companies like ONGC are likely to benefit. AK Srinivasan of ONGC said the upstream revenue sharing burden will come down as the prices keep going up. “Any one rupee increase in the price will bring about a reduction of Rs 700 crore to the total system,”he said. About Rs 1096 crore subsidy was met by the company in FY16, he said. Currently, the company has a capital expenditure plans of about Rs 30,000 crore. He sees the net average realisation of USD 45-47 a barrel. As regards crude production, he said, the company has been able to maintain decline rates of 3-4 percent. He also spoke about operating costs, which was Rs 4200 crore in the quarter gone by. He said the company had to carry out somer repair work.  Dre Kirkpatrick Authentic Jersey

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