Insurgency has hit OIL production says Chairman Pasrija

Guwahati: It is increasingly becoming difficult for an insurgency-hit Oil India Limited (OIL) to run a steady production which is why the supply of gas to some companies are getting disrupted

Disclosing this, Oil India Ltd (OIL) Chairman and Managing Director MR Pasrija told a Assam Legislative Committee that the PSU has not been able to maintain regular supply of gas to some Assam companies including the Assam State Electricity Board (ASEB).

“Insurgency has resulted in the shortfall in production. The situation prevailing prevents us from extracting gas to the desired level. We seek support from the Government on this,” said Pasrija, who appeared before a House committee to explain why it fails to maintain a steady gas supply to a number of Assam Companies.

The OIL chairman maintains that in his earlier letter (No. CMD/OIL 4/1/1.3, dated May 20, 2007) to ASEB Chairman SC Das, he had said the PSU’s field activities and exploration efforts in Assam have been facing serious law-and-order problems, almost on a regular basis, thereby affecting production of crude oil and natural gas to a large extent. While the district authorities and the State Government are rendering all possible help and cooperation, a congenial working environment in the Oil’s fields is yet to materialize...”

According to him, OIL had made a commitment to Assam Petrochemical Limited that it would supply it 0.5 million metric standard cubic metre per day (mmscmd) gas, but the prevailing law-and-order problem did not allow it to do so.

Notably, the Assembly committee on PSUs visited Assam Petrochemicals Limited (APL), Assam Gas Company and Namrup Thermal Power Station in June and found some lapses in their production due to the failure on the part of OIL to maintain regular gas supply. Post this they had decided to summon the OIL Chairman seeking an explanation on this.