2. ORIGIN OF THE INDUSTRY
• The origin of the Indian oil & gas industry _19th century, when oil was
first struck at Digboi in Assam in 1889.
• Due to oil exploration the North-Eastern region Assam produced 5,000
barrels per day.
• In view of the significance of the oil & gas sector for overall economic
growth, the Government of India, under the Industrial Policy Resolution
of 1954, announced that petroleum would be the core sector industry.
• In pursuance of the Industrial Policy Resolution, 1954, petroleum
exploration & production activity was controlled by thegovernment-
owned National Oil Companies (NOCs), namely Oil & Natural Gas
Corporation (ONGC) and Oil India Private Ltd (OIL).
3. Oil Formation
Oil was formed from the remains of animal and
plants that live millions of years ago in a marine
environment before the dinosaurs.
Over the year ,the remains were covered by
layers of mud. Heat and pressure from these layers
helped the remains turn into what we today call
crude oil . The word “petroleum” means “rock oil” or
“oil from the earth”.
15. Key Government Entities in the Indian
Oil and Gas Industry
Company name Activities Office locations Total turnover in India in USD $
ONGC Oil and gas
production
North India,
Uttarakhand
12 billion
Oil India Crude oil
production
North India, New
Delhi
1.6 billion
Indian Oil corporation Petroleum
products
North India, New
Delhi
54.6 billion
BPCL Oil production West India,
Maharashtra
26.4 billion
HPCL Refinery West India,
Maharashtra
23.8 billion
GAIL Natural gas North India, New
Delhi
5 billion
16. Key Private Entities in the Indian Oil
and Gas Industry
Company name Activities Office location Total turnover in India USD $
Reliance Industries
Limited
Natural gas West India, Maharashtra 43 billion
Essar Oil Refinery West India, Maharashtra 9.61 billion
Adani Gas Gas
distribution
West India, Gujarat 5.37 billion
Cairn Energy Oil
exploration
North India, Haryana 1.6 billion
18. Indian Oil Institute of Petroleum Management
इंडियन ऑयल इंस्टिट्यूि ऑफ पेट्रोललयम मैनेजमेंि
Established 1995
Type Business School
Location Gurgaon, Haryana, India
Campus Urban, 30 acres (0.12 km2)
Website www.iocl.com
20. SWOT ANALYSIS
Strengths
•India is the worlds fifth biggest energy consumer
and continues to grow rapidly
•Major natural gas discoveries by a number of
domestic companies hold significant medium to
long-term potential.
•Demand for petroleum products
•Increase in demand for oil and gas
21. Weaknesses
•The oil and gas sector is dominated by state-controlled
enterprises, although the government has taken steps in
recent years to deregulate the industry and encourage
greater foreign participation
•Increase in oil prices
•Inadequate and slowly developing infrastructure
•Lack of awareness in safety issues
•Environmental issues
22. Opportunities
•Liquefied natural gas (LNG) imports are still set
to grow rapidly over the longer term as
domestic consumption expands
•India has freed gasoline retail price controls
•Untapped domestic oil and gas potential
•Strong domestic energy demand growth
•High recovery rates from existing projects
23. Threats
• Highly flammable
•Increased competition within government and
private players
•Continuing government interference
•Changes in national energy policies