Oil India Limited (OIL) has embarked on a Mission 4+, for significant increase in production of oil and natural gas.

This was stated by Chairman and Managing Director of Oil India Limited Dr. Ranjit Rath today on the occasion of its 63rd annual general meeting which was held virtually.

"Aligned with the national priorities, OIL is placing greater thrust on exploration activities, which is the core activity of an E&P company thereby attempting to create significant value proposition for the future" he said.

OIL has historically maintained production levels of around 3.0 MMT per annum during last decades.

"In line with the Government of India's Hydrocarbon Vision 2030 for NE India and thrust on reducing imports, OIL has embarked upon an aspirational target of Mission 4 plus, for significant increase in production of oil and natural gas. Under this ambitious program, we have identified five fields for accelerated development where intensive interventions and addition of production facilities over the next few years is expected to yield more than 4 MMT of Crude Oil and 5.0 BCM of Natural Gas for the company" he said.

The Company is also looking at acquisition of conventional and non-conventional assets, as well as selective diversification into midstream, downstream and renewable energy segments as avenues for growth.

PHYSICAL PERFORMANCE: OIL in FY 2021-22, established the highest ever record production of Natural Gas since its inception by producing 3.045 BCM( billion cubic metres) of Natural Gas as against 2.642 BCM in 2020-21. In 2021-22, the Company crossed the 3 MMT mark at 3.010 MMT compared to 2.964 MMT in the previous year.

OIL also produced 33,240 Metric Tons of LPG during the year and transported 6.18 MMT of crude oil through its crude oil pipeline and 1.516 MMT of petroleum products through its product pipeline.

FINANCIAL FRONT: The company recorded its highest ever total income at ₹ 16,428 Crores and highest ever Profit After Tax at ₹ 3,887.31 Crores, a growth of more than 123% over the previous year. The Earnings per Share (EPS) was also high at ₹ 35.85.

Crude oil price realisation witnessed improvement during the year and average realisation stood at US $78.96 per barrel. Natural Gas average price was US $2.35 per MMBTU( Million Metric British Thermal Unit). Correspondingly, the share price witnessed improvement from the level of ₹ 112 at the start of financial year to the level of ₹ 260 at the close of the financial year.

The company had acquired 25 blocks under the OALP (Open Acreage Licensing Policy) mechanism with a total acreage of 48,796.32 Sq Kms. With the recent announcement of the results of sixth and seventh OALP rounds, OIL company has secured another 4 blocks, to increase its acreage under OALP to 53,859.19 sq. km.

"Considering our previous inventory of 4 NELP (New Exploration Licensing Policy) blocks and the recently awarded blocks under the DSF( Discovered Small Field) rounds II & III, we are at the cusp of an exciting growth curve in the coming years, " Rath said.

OIL has achieved a total CAPEX of ₹ 4,367 Crore during the year which is 106% of the CAPEX target of the Company.

"The future of the Company depends on assets and facilities created today through projects. The Company has successfully completed 5 critical projects during the ear, with a total investment of app. ₹ 910.36 Crores. At present we have several projects in hand that are above ₹ 100 crores each, in various stages of development" Rath said.

The crude oil pipeline network of OIL including the trunk line of 1,157 km from Naharkatiya to Barauni serves as the “Crude oil lifeline” of the North-eastern region, connecting refineries with respective crude oil sources. "During the year, this “lifeline” transported a total of 6.18 MMT of crude oil from the oil fields in the Northeast Region including that of OIL and ONGCL as well as imported crude (under reverse pumping) from Barauni to Bongaigaon Refinery" Rath said.

The company has divested its stake in the Shale oil fields of USA and is re-evaluating other assets in light of its overall business plan.

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