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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 India's 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 Hon'ble 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 to


28      BUSINESS SUPERBRANDS
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 been
independent 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 Cairn
commands material E&P interests in ten blocks             India’s largest processing facility. It is spread
in 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 and
operating assets – the Ravva field in Andhra              Aishwariya fields. It is designed to process
Pradesh, CB/OS-2 block in the Cambay Basin in             205,000 BOPD of crude and is expected to
Gujarat and RJ-ON-90/1 block in Barmer,                   attain this capacity in 2011. The infrastructure
Rajasthan.                                                that supports this facility includes 500
    The significance of these discoveries,                kilometres of pipelines and 80 kilometres
particularly after the failure of several other           of inter-field roads. Natural gas from the
companies, can best be realised by measuring              Rajasthan fields is being used for generating
the contribution they make to India’s quest               steam which in turn will power its processing
for economic liberation. The recoverable oil              requirements and heat the crude export
reserves, for instance, in Mangala, Bhagyam and           pipeline.
Aishwariya are estimated at about one billion                                                                         top quartile performance ranking in lost time
barrels. This includes proven plus probable (2P)          Recent Developments                                         injury frequency rate (LTIFR) and total
gross 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 Incident
further 300 MMBOE or more of enhanced                     domestic crude oil. To transport this crude oil, it         Management System in 2009 for better
oil recovery (EOR) potential.                             commissioned the world's 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 and
Rajasthan block. When the company here                    national asset represents one of the first steps            submits all incidents, accidents and near-misses
reaches 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 of
per day (BOPD) in 2011 it will account for                   2010 has been a busy year for Cairn. The                 Rajasthan, the company manages the Enterprise
more than 20% of India's domestic crude oil               company celebrated one year – and the                       Centre, which imparts vocational training in
production.                                               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 and
Product                                                                                                               the environment so that cultural differences
The company produces crude oil and natural                                                                            have no place and the things that bind people
gas – from it Ravva, Cambay and Rajasthan                                                                             together are health, safety and security; and
operations. During the 2010 calendar year, it                                                                         ownership that impels people to become
cumulatively produced 41.21 MMBOE of crude                                                                            accountable and take responsibility for delivery
oil – including condensate – and 4.91 MMBOE                                                                           on commitments.
of gas.
   In the Ravva field, Cairn has a 22.50%                                                                             www.cairnindia.com
                                                                   Use of innovative methods to impart education
participating interest. This project is in
partnership with ONGC, Videocon and Ravva                 beyond Indian shores. It is currently evaluating
Oil. The assets comprise a 225-acre onshore               global opportunities for the acquisition of                        Things you didn’t know about
processing facility at Surasaniyanam, eight               foreign assets that would enhance its business                                    Cairn
offshore unmanned platforms, 170 kilometres of            plans and vision.
sub-sea pipelines and a single point mooring.                                                                           Cairn pioneered deepwater exploration in India
The processing capacity of this ISO 14001                 Promotion
certified plant is 70,000 BOPD and 95 million                     To ensure that Cairn India is ready to face           Four of the eight significant oil and gas
standard cubic feet per day (MMSCFD) of                           future challenges it has evolved a curriculum to      discoveries in India since 2000 have been made
natural 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 onshore
with ONGC and Tata Petrodyne, is an 82-acre                          The success achieved by the company in             hydrocarbon find in India in the last twenty
onshore processing facility with a capacity of                    accelerating the production from the Mangala          years
10,000 BOPD of crude oil and 150 MMSCFD of                        field to 125,000 BOPD within a short span of
natural gas. The Suvali terminal processes the oil                one year is one of the finest self-evident            The Ravva field was developed from 3700
and 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
Cairn India awarded 'Superbrand' status

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Cairn India awarded 'Superbrand' status

  • 1.
  • 2. 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 India's 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 Hon'ble 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 to 28 BUSINESS SUPERBRANDS
  • 3. 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 been independent 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 Cairn commands material E&P interests in ten blocks India’s largest processing facility. It is spread in 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 and operating assets – the Ravva field in Andhra Aishwariya fields. It is designed to process Pradesh, CB/OS-2 block in the Cambay Basin in 205,000 BOPD of crude and is expected to Gujarat and RJ-ON-90/1 block in Barmer, attain this capacity in 2011. The infrastructure Rajasthan. that supports this facility includes 500 The significance of these discoveries, kilometres of pipelines and 80 kilometres particularly after the failure of several other of inter-field roads. Natural gas from the companies, can best be realised by measuring Rajasthan fields is being used for generating the contribution they make to India’s quest steam which in turn will power its processing for economic liberation. The recoverable oil requirements and heat the crude export reserves, for instance, in Mangala, Bhagyam and pipeline. Aishwariya are estimated at about one billion top quartile performance ranking in lost time barrels. This includes proven plus probable (2P) Recent Developments injury frequency rate (LTIFR) and total gross 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 Incident further 300 MMBOE or more of enhanced domestic crude oil. To transport this crude oil, it Management System in 2009 for better oil recovery (EOR) potential. commissioned the world's 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 and Rajasthan block. When the company here national asset represents one of the first steps submits all incidents, accidents and near-misses reaches 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 of per day (BOPD) in 2011 it will account for 2010 has been a busy year for Cairn. The Rajasthan, the company manages the Enterprise more than 20% of India's domestic crude oil company celebrated one year – and the Centre, which imparts vocational training in production. 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 and Product the environment so that cultural differences The company produces crude oil and natural have no place and the things that bind people gas – from it Ravva, Cambay and Rajasthan together are health, safety and security; and operations. During the 2010 calendar year, it ownership that impels people to become cumulatively produced 41.21 MMBOE of crude accountable and take responsibility for delivery oil – including condensate – and 4.91 MMBOE on commitments. of gas. In the Ravva field, Cairn has a 22.50% www.cairnindia.com Use of innovative methods to impart education participating interest. This project is in partnership with ONGC, Videocon and Ravva beyond Indian shores. It is currently evaluating Oil. The assets comprise a 225-acre onshore global opportunities for the acquisition of Things you didn’t know about processing facility at Surasaniyanam, eight foreign assets that would enhance its business Cairn offshore unmanned platforms, 170 kilometres of plans and vision. sub-sea pipelines and a single point mooring. Cairn pioneered deepwater exploration in India The processing capacity of this ISO 14001 Promotion certified plant is 70,000 BOPD and 95 million To ensure that Cairn India is ready to face Four of the eight significant oil and gas standard cubic feet per day (MMSCFD) of future challenges it has evolved a curriculum to discoveries in India since 2000 have been made natural 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 onshore with ONGC and Tata Petrodyne, is an 82-acre The success achieved by the company in hydrocarbon find in India in the last twenty onshore processing facility with a capacity of accelerating the production from the Mangala years 10,000 BOPD of crude oil and 150 MMSCFD of field to 125,000 BOPD within a short span of natural gas. The Suvali terminal processes the oil one year is one of the finest self-evident The Ravva field was developed from 3700 and 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