State-run Oil India Ltd. (OIL) is in talks to buy a stake in Tullow Oil, which has its headquarters in London, for its Kenyan property. Ranjit Rath, chairman of Oil India, said to the media on Thursday, "Some discussion is going on," without going into any detail. In order to finance its onshore oil project in Kenya, Tullow Oil has been looking for a strategic investor. Tullow Oil and ONGC Videsh Ltd. (OVL) previously had negotiations in July of last year. Tullow said that the parties had agreed to continue talking about the issue after the meeting in July. Tullow currently controls a 50% share in the business.
25% each are held by TotalEnergies SE and Africa Oil Corp. The three will probably sell a portion of their stake. Speaking about the dividends that are stranded in Russia as a result of its investments in Russian enterprises, the CMD stated that the company is working on potential solutions with other Indian state-run businesses that have investments in oil and gas assets there. "We are working out solutions with our other partners since we have a subsidiary office in Singapore and all these overseas assets are invested through our JVs or subsidiary structure," he said. He further lamented the fact that the dividends are being parked in Russian Indian banks and accruing interest for the corporation. They are all parked in Russian Indian banks.
On top of that, we receive dividends and interest. It might just take a short while to remedy the problem. "We are working with legal consultants to assess other options. We keep an eye on the developments that are taking place every day. And we are also discussing potential substitutes with our colleagues," he said. Indian state-owned oil companies have spent $5.46 billion to acquire shares in four separate Russian enterprises.
A 49.9% ownership in the oil and gas field Vankorneft and a further 29.9% in the TAAS-Yuryakh Neftegazodobycha fields are among them. PSUs get dividends from the operating consortium's sales of the oil and gas extracted from these fields. Rath stated that the annual impact of the windfall tax levied by the government on the sale of domestic crude oil has been in the range of Rs. 1,900 crore.
The company announced its highest-ever net for the most recent fiscal year (FY23) at 26,810.40 crore, growing by 75.20% year over year (YoY). "The company also recorded the highest-ever turnover of 223,272.57 crore, a rise of 60.17% YoY," according to a statement from the company.