Cairn gets Government nod for $ 700 mln pipeline

New Delhi, Sep 11 (UNI) Cairn India Ltd today said the government has approved its proposal to build a 700-million-dollar pipeline for transporting crude oil from its Mangala oil field in Rajasthan, to the Gujarat coast.

The Indian arm of the UK-based Cairn Energy Plc, said it the company and Oil and Natural Gas Corp (ONGC) has been granted a 'Right of Use' (ROU) approval, to acquire the land for laying the 582-km pipeline from Barmer to Salaya, a statement said.

The proposal is to expand the Mangala field development plan (FDP) to include an oil export pipeline, which will transport the Rajasthan crude from Mangala to a coastal location in Gujarat, said a statement.

The proposed routing of the pipeline will allow access to an extensive existing pipeline infrastructure and refinery network, with a final coastal delivery point that also affords access to the majority of India's refining capacity.

The planned production for Cairn's in Rajasthan has been set at 1,50,000 bopd from Northern Fields and plans its first oil production from Mangala in 2009.

UNI