Birth of an oil giant: Six reasons why HPCL-ONGC deal is important
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HPCL-ONGC deal
Mergers and consolidation of state-owned companies are the only way to create an oil giant.
HPCL-ONGC deal is the first step towards that goal.
It will pave way for further consolidation. The government might ask IOCL to acquire the smaller Oil India.
HPCL-ONGC deal is the first step towards that goal.
It will pave way for further consolidation. The government might ask IOCL to acquire the smaller Oil India.
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Global acknowledgement
Consolidation in oil sector is a globally acknowledged practice.
International oil giants such as ExxonMobil and Royal Dutch Shell too have consolidated exploration, refining and retail operations.
HPCL is a refining company while ONGC is an oil explorer. Consolidation of different operations will give ONGC control over value chain leading to strengthening of balance sheets.
International oil giants such as ExxonMobil and Royal Dutch Shell too have consolidated exploration, refining and retail operations.
HPCL is a refining company while ONGC is an oil explorer. Consolidation of different operations will give ONGC control over value chain leading to strengthening of balance sheets.