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Shell rules out more capital investment in India

Energy firm Shell today ruled out huge capital investments in India and said it would rather improve upon on its competitiveness in the market. - Expansion of Essar"s Vadinar refinery on schedule - Shell to transfer jobs to India, Philippines - Shell transferring thousands of jobs to India, Phillipines - Essar Oil soars on hopes of Shell refinery buy - Essar, Shell extend talks on refineries" sale - Essar, Shell to continue talks beyond exclusivity period "We have already made over a billion dollar investment in India. We do not have to make more investments. We have to run the business more efficiently to be more competitive in the market," chairman of Shell Group of companies in India Vikram Mehta told reporters here on sidelines of a CII event. He said: "We do not need to build more factories or plants because those are already in place. Now we need to expand operations as foundation is already there." Mehta clarified that the company has no plans to enter the refining business in India. About the state of its LNG business in India after availability of Reliance Industries" KG-D6 basin gas, he said: "Reliance gas from KG-D6 basin has not affected our business as market is large enough to absorb both LNG as well as domestic gas. Reliance is still buying LNG from us." About retail business expansion, Mehta said, "The government has to finally decide, how they want to arrange the pricing mechanism for petroleum (products), before private sector retailing becomes viable business." Meanwhile, Shell also signed a Memorandum of Understanding with CII to promote various road safety programmes in association with civil societies.

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09.12.2011


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