Cairn India awarded 'Superbrand' status


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Cairn India was accorded the 'Superbrand' status on 27 July, 2011. The award was presented by Planning Commission Deputy Chairman Montek Singh Ahluwalia. The membership of this exclusive association/club of brands is by invitation only and comprises global giants from across categories like consumer, business and luxury. This accreditation puts Cairn India in the elite club of other oil and gas peers like Reliance, ONGC and technical company like L&T. The rigorous selection process is a three tier evaluation. Superbrands are always selected, never applied for.

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Cairn India awarded 'Superbrand' status

  1. 1. Panoramic view of the Mangala processing facility at Barmer, Rajasthan Market Achievements awarded a AAA rating by the Credit Analysis More than foresight, more than endeavour, Cairn India has had a distinguished fifteen years and Research Limited (CARE) in March 2010 more than entrepreneurial skills, India will need in India. During this period, it has played an for its domestic borrowing of Rs. 4000 crore oil if it has to meet its targeted annual active role in developing oil and gas resources (US$ 888.90 million) which is helping finance economic growth of 9%. The arithmetic is across the country. Ravva, in Eastern India, the development of world-class oil fields in simple. Currently, India’s per capita energy was the first offshore oil and gas field to be Rajasthan. utilisation is a low 141 kilograms of oil developed by Cairn. This was followed by the Cairn India’s contribution to the country’s equivalent (KOE) versus a global average of 972 Lakshmi gas field in the Cambay Basin off the energy security has been no less newsworthy. KOE and the US average of 5065 KOE (Source: Gujarat coast in May 2000, Gauri in 2001 International Energy Outlook – IEO). Given its and, its most notable find, Mangala in current base Indias energy needs will have to Rajasthan in 2004 – the largest onshore take several quantum leaps for tomorrow’s discovery in India in more than twenty years. infrastructure to be energised and will need to This field was dedicated to the nation invest about US$ 150 billion (Rs. 675,000 crore) by the Honble Prime Minister of India, in exploration and production in the course Dr. Manmohan Singh, on 29th August 2009. of the next five years (Source: Ministry of With the intent to develop the Rajasthan Petroleum & Natural Gas). fields quickly, Cairn India, within two months, As of January 2010 India had approximately completed financing arrangements for 5.60 billion barrels of proven oil reserves – after US$ 1.60 billion (approximately Rs. 7200 China the second largest in the Asia-Pacific crore). The financing was arranged through a region (Source: Oil and Gas Journal). By combination of US dollar and Indian rupee factoring in her 5 million-barrels-per-day borrowing by accessing both domestic and requirement in twenty years from now, India’s international markets. For the reserves are woefully inadequate. In fact, it is alacrity it showed in sewing It has estimated that by 2031 the country will be up the financing arrangement, produced more importing almost 93% of its oil and 11% of its the company received the Oil than 225 million gas requirements (Source: industry estimates). & Gas Deal of the Year – barrels from 2009 award for the Asia- Ravva alone and Pacific region by Project contributed Finance International, a more than division of the Thomson US$ 4 billion Reuters Group. (Rs. 18,000 Concurrent to these efforts crore) in profit has been Cairn’s evacuation petroleum to of the Mangala crude from the Government Rajasthan. From its source in Barmer, the oil is of India. It’s hardly surprising then that the pumped through a ~590-kilometre long pipeline company’s managing director and chief that stretches across the sand dunes to Salaya executive officer, Rahul Dhir, received the unloading its contents to private refiners in prestigious Young Entrepreneur Award in the Gujarat and the Indian Oil Corporation. OCEANTEX World Expo 2010. This has the distinction of being the world’s The strong foundations developed by Cairn longest continuously heated and insulated and the goodwill it has earned has also won the pipeline. company public support. The company’s initial Always conscious of the needs of the public offering (IPO) in 2007 was the largest community, Cairn India developed a micro IPO in the Indian primary equity market at that vendor programme. This initiative equips small point in time. The company’s stock is listed on businesses to manufacture and supply select the National and Bombay Stock Exchanges. Its components to Cairn facilities at Ravva and market capitalisation now stands at more than other corporate houses. This effort was Rs. 63,000 crore (US$ 14 billion). recognised when it received the TERI Corporate Award for Social Responsibility in 2008. History On the business front, too, Cairn India has Cairn entered India on the back of a been a powerful influence. The company was widespread belief that greater effort needed to28 BUSINESS SUPERBRANDS
  2. 2. be expended in the exploration and production This plant, 40% owned by Cairn India, is(E&P) of oil. Today, Cairn is one of the largest ISO 14001 certified and has also beenindependent oil and gas E&P companies in India. granted OSHAS 18001 certification.It is headquartered in Gurgaon near Delhi and The Mangala processing terminal is Cairncommands material E&P interests in ten blocks India’s largest processing facility. It is spreadin India and one in Sri Lanka. over 1.60 square kilometres and processes Today, Cairn produces oil and gas from three crude from the Mangala, Bhagyam andoperating assets – the Ravva field in Andhra Aishwariya fields. It is designed to processPradesh, CB/OS-2 block in the Cambay Basin in 205,000 BOPD of crude and is expected toGujarat and RJ-ON-90/1 block in Barmer, attain this capacity in 2011. The infrastructureRajasthan. that supports this facility includes 500 The significance of these discoveries, kilometres of pipelines and 80 kilometresparticularly after the failure of several other of inter-field roads. Natural gas from thecompanies, can best be realised by measuring Rajasthan fields is being used for generatingthe contribution they make to India’s quest steam which in turn will power its processingfor economic liberation. The recoverable oil requirements and heat the crude exportreserves, for instance, in Mangala, Bhagyam and pipeline.Aishwariya are estimated at about one billion top quartile performance ranking in lost timebarrels. This includes proven plus probable (2P) Recent Developments injury frequency rate (LTIFR) and totalgross reserves and resources of 694 million With continuous capacity expansion, Cairn recordable incident frequency rate (TRIFR).barrels of oil equivalents (MMBOE) with a now produces about a fifth of the country’s Cairn also launched the Cairn Incidentfurther 300 MMBOE or more of enhanced domestic crude oil. To transport this crude oil, it Management System in 2009 for betteroil recovery (EOR) potential. commissioned the worlds longest continuously reporting and investigation of incidents and Cairn has so far made 25 discoveries in the heated and insulated pipeline in June 2010. This near-misses. It tracks preventative actions andRajasthan block. When the company here national asset represents one of the first steps submits all incidents, accidents and near-missesreaches the current approved plateau in creating a world-class energy infrastructure for detailed analysis.production rate of 175,000 barrels of oil for India. In collaboration with the Government ofper day (BOPD) in 2011 it will account for 2010 has been a busy year for Cairn. The Rajasthan, the company manages the Enterprisemore than 20% of Indias domestic crude oil company celebrated one year – and the Centre, which imparts vocational training inproduction. production of 16 million barrels of oil – from various fields to the local youth of Barmer. the Mangala field in August 2010. Cairn’s community engagement initiatives are In another exciting new development, Cairn designed to enrich the lives of the people in all received petroleum exploration licences for two the regions in which it operates. blocks, KG-OSN-2009/3 and MB-DWN-2009/1, awarded under the eighth bidding round of the Brand Values New Exploration Licensing Policy (NELP). The brand stands for innovative thinking and a The company has now embarked on a new ‘can-do’ attitude. and aggressive policy to expand its activities The four key values that drive the company encompass a pioneering spirit that experiments without fear of failure and provides leadership that is committed to meeting challenges; teamwork that places collective goals ahead of individual interests and accepts other’s view points and perspectives; respect for people andProduct the environment so that cultural differencesThe company produces crude oil and natural have no place and the things that bind peoplegas – from it Ravva, Cambay and Rajasthan together are health, safety and security; andoperations. During the 2010 calendar year, it ownership that impels people to becomecumulatively produced 41.21 MMBOE of crude accountable and take responsibility for deliveryoil – including condensate – and 4.91 MMBOE on commitments.of gas. In the Ravva field, Cairn has a 22.50% Use of innovative methods to impart educationparticipating interest. This project is inpartnership with ONGC, Videocon and Ravva beyond Indian shores. It is currently evaluatingOil. The assets comprise a 225-acre onshore global opportunities for the acquisition of Things you didn’t know aboutprocessing facility at Surasaniyanam, eight foreign assets that would enhance its business Cairnoffshore unmanned platforms, 170 kilometres of plans and vision.sub-sea pipelines and a single point mooring. Cairn pioneered deepwater exploration in IndiaThe processing capacity of this ISO 14001 Promotioncertified plant is 70,000 BOPD and 95 million To ensure that Cairn India is ready to face Four of the eight significant oil and gasstandard cubic feet per day (MMSCFD) of future challenges it has evolved a curriculum to discoveries in India since 2000 have been madenatural gas. enhance the skill sets of its team even as it has by Cairn The Suvali terminal, operated in partnership an ongoing programme to upgrade installations. Mangala in Rajasthan is the largest onshorewith ONGC and Tata Petrodyne, is an 82-acre The success achieved by the company in hydrocarbon find in India in the last twentyonshore processing facility with a capacity of accelerating the production from the Mangala years10,000 BOPD of crude oil and 150 MMSCFD of field to 125,000 BOPD within a short span ofnatural gas. The Suvali terminal processes the oil one year is one of the finest self-evident The Ravva field was developed from 3700and gas produced from the CB/OS-2 block. promotional testaments that a company can BOPD to 35,000 BOPD in a record 26 months hope for. During business The Lakshmi gas field went from discovery to operations, Cairn’s workers and production in 28 months managers constantly spread the message that the company is Horizontal wells in the Mangala field in committed to providing a safe Rajasthan tested at a rate of more than 11,500 working environment to its BOPD – the highest-ever production rate for a employees, a business-friendly single onshore well in India atmosphere for its customers The Mangala development pipeline has entered and is a concerned and devoted the Limca Book of Records as the world’s partner to the community. longest continuously heated and insulated A comprehensive safety, pipeline health and environment management system is in place Cairn India secured US$ 1.60 billion in all its operating units and (approximately Rs. 7200 crore) of funding installations. The company has through the reserves based lending model Welding activity on the Mangala Development Pipeline achieved global industry-wide BUSINESS SUPERBRANDS 29