Explaining the analogy behind the Russian oil deal, Pradhan said, “Russia’s economic conditions have not changed in the last few years. India’s energy security is now considered with prime importance in the international markets,” said petroleum minister Dharmendra Pradhan. During the past regime, OVL invested $2 billion in Imperial Energy with reserves of just 0.5 mmt of oil. India’s growing geopolitical influence globally and tumbling oil prices and a global gas glut are compelling exporters to offer better deals to retain their share in the global energy trade, benefiting Indian energy firms. As a thumb rule, if you spend $1 billion, you must get at least 1 million metric tonnes (mmt) of oil.

Source: The Hindu June 11, 2016 18:45 UTC