India ONGC Remains on International Acquisition Trail
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Saturday, 08 November 2008 |
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Oil and Natural Gas Corp., or ONGC, is not facing cash flow problems
and is still looking for acquisition opportunities despite the global
financial crisis and the drop-off in prices it helped precipitate,
Chairman and Managing Director R.S. Sharma said.
“As a national oil company liquidity is not a problem but the whole
business is certainly facing difficulties,” Sharma told media. “It is a
good time to buy assets if you have the money,” he said, adding ONGC
was looking at possible acquisitions in Africa and Latin America.
Sharma dismissed the current price decline as a blip in a long-term
trend of rising consumption. “I don’t see that there is falling demand.
Its just a short term phenomenon, just a question of sentiment going
down.”
The national oil companies have warned that $60 crude could actually
fuel another spike in prices further down the line if it leads to a
suspension of more expensive projects needed to meet expected demand
growth.
PetrolWorld 081108
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