OIL signs MoU with KAAC for oil excavation in Karbi Anglong; to give Rs 5 cr as royalty per month
OIL executive director (basin manager, shelf) Sharma said that, for now, two locations - one at Timung village and another in the Dhansiri Reserve Forest – have been identified for the excavation work.
GUWAHATI:
The Oil India Ltd (OIL) signed a memorandum of understanding (MoU) with Karbi Anglong Autonomous Council (KAAC) for excavation of hydrocarbon at Dhansiri Reserve Forest in Assam’s Karbi Anglong district, on November 24.
The MoU was signed between KAAC principal secretary Mukul Kumar Saikia and OIL executive director (basin manager - shelf) Manas Kumar Sharma at the KAAC conference hall at Diphu, Karbi Anglong.
“We have signed an MoU with OIL for undertaking exploration of hydrocarbons from Dhansiri area. In areas where there is oil, the OIL, within two to three days, will start the excavation work. After the OIL starts the exploration works, the KAAC will advertise how much manpower is needed and the number of vacancies that needs to be filled,” chief executive member (CEM) of KAAC, Tuliram Ronghang told the press after signing the MoU.
The MoU is for two years and can be extended depending on the commitment of the two parties, he informed.
Ronghang said that owners of private lands where excavations will be carried out, will be duly compensated. The OIL will credit the compensation money in the KAAC account and the latter will dispatch the amount to the private landowners. The area of operation is 396 square km, he informed.
“KAAC will be receiving monthly revenue of Rs 5 crore. Yearly, it will be Rs 60 crore,” Ronghang said.
OIL executive director (basin manager, shelf) Sharma said that, for now, two locations - one at Timung village and another in the Dhansiri Reserve Forest – have been identified for the excavation work.
“I request the CEM to process formalities so that we can start the operation. Regarding the forest location, there is a long process. So, I understand these are already been taken care of by the forest department and I would like to request the KAAC members to help us out so that the process can be expedited,” Dr Sharma said.
“We have to stick to a timeline on this. So, accordingly, we would like to complete the work within the stipulated time,” he said, adding that if the exploration is successful, it will bring a lot of development in Karbi Anglong.
Sharma also informed that the oil drilling process can be started once the KAAC completes the formalities, which includes approval from the forest department.
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