The Hindu Business Line : Cairn India posts Rs 24-cr net loss in 2007

For the same period last year the loss was Rs 18.6 crore. The income from operations has increased to Rs 1,012.26 crore from Rs 38.74 crore posted last year.

Previous figures relate to the period from August 21, 2006 (the date of incorporation of the company) to December 31, 2006 accordingly these figures are not comparable. They have been regrouped where necessary to confirm to this year’s classification.

During the year, the strengthening of the rupee against dollar resulted in foreign exchange fluctuation and loss of Rs 212 crore. The loss arose mainly on account of the deposits held in dollar by the foreign subsidiaries, which was intended to be used for capital imports.

Mr Rahul Dhir, Chief Executive Officer, said in a press statement that major contracts for the midstream and upstream developments in Rajasthan have been awarded and work is progressing well towards for the first oil from Mangala filed in the second half of 2009.

“We are increasingly confident about the scale of the resource base in Rajasthan. We firmly believe that a plateau production of 175,000 bpd is now achievable with the potential for higher rates and more value optimisation should the encouraging tests on enhanced oil recovery be confirmed in the field trials” Mr Dhir said.

The statement also said that the Union Government (GoI) has agreed to grant Rights of Use (RoU) for the pipeline in order to meet the planned schedule. The front end engineering and design (FEED) has already been completed. Pipeline construction work will commence on site in second half of 2008, with the completion of Phase I of the pipeline from Barmer to the intermediate pumping station at Viramgam scheduled for early 2009.

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Cairn India posts Rs 24-cr net loss in 2007