ONGC insures offshore assets

Oil and Natural Gas Corporation Ltd has announced it has obtained insurance cover for its offshore assets valued at $11.13 billion at a premium of $36.59 million for 2003-04.

For cost-effectiveness, ONGC this time has decided to obtain insurance cover in dollar terms for offshore assets. However, the insurance cover for onshore assets, including the joint venture properties, will be obtained in domestic market in rupee terms.

“With this change in strategy, the insurance cost in dollar terms has come down by $14.4 million from 51 million in 2002-03,” Oil and Natural Gas Corporation said in a statement here.

The company has given the mandate to United India Insurance Company as the lead Indian insurer for the policy renewal.