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Pact with ONGC: Talks with Union Minister next month

By Our Special Correspondent

BANGALORE, OCT. 20. The Chief Minister, N. Dharam Singh, and the Minister for Industries, Infrastructure and Civil Aviation, P.G.R. Sindhia, will meet the Union Minister for Petroleum and Natural Gas and Panchayat Raj, Mani Shankar Aiyar, in New Delhi, next month with regard to his suggestion to review the State Government's agreement with the Oil and Natural Gas Commission (ONGC) to set up a special economic zone (SEZ) in Mangalore.

During the inauguration of Bharat Petroleum Corporation Ltd.'s LPG (liquefied petroleum gas) bottling plant at Solur in Bangalore Rural district, Mr. Aiyar asked the Government to review its agree- ment with the ONGC.

He wanted the inclusion of other undertakings such as the Indian Oil Corporation and Hindustan Petroleum, which had expertise in different areas, including management of oil refineries, in the proposed Rs. 25,000-crore project to be taken up in Mangalore. The SEZ would comprise not only oil refineries but also involve the laying of pipelines and LNG (liquid natural gas) terminals.

MoU

Addressing presspersons here on Wednesday after a meeting with officials of various banks, Mr. Sindhia said the Government had signed the memorandum of understanding with the ONGC after holding detailed talks with its Chairman.

There was no clarity in the suggestion given by Mr. Aiyar. "We still feel this MoU will continue," the Minister said.

The differences between the State Government and the Union Minister would be resolved through talks.

The officials of the Industries Department and the Union Petroleum Ministry officials would hold a meeting prior to their meeting with the Minister, Mr. Sindhia said.

"We seek the cooperation of the Union Petroleum Ministry. We don't want to enter into a confrontation now," he added.

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