“Cairn India is close to agreeing on the price of the oil with refiners who we have nominated,” R.S. Pandey, secretary in the ministry, said.
“Facilities will be ready in order for us to start production by end of May,” Manu Kapoor, a spokesman for Cairn India. Production from the Mangala field is subject to grants by the federal government and agreements to sell the oil to its nominees, Manu said.
A dispute over future royalty payable ONGC is not a obstacle and will be resolved once Prime Minister Manmohan Singh’s new Cabinet takes office, Pandey said.
“There’s no way that production will be delayed,” Pandey said yesterday, adding that the latest by when output could start would be about a week from end-May. “Let’s do today’s work first. As soon as a baby is born, you can’t decide the profession and marriage.”
