LONDON (ShareCast) - (Sharecast News) - Oilex updated the market on its operations in India on Monday, after local authorities put the kibosh on the restart of operations at the Cambay field.
The AIM-traded firm said it was in "detailed discussion" with the Gujarat Pollution Control Board (GPCB) over its new Environmental Clearance Certificate (EC), which was issued by the Indian government in March.

GPCB was questioning whether the new EC authorised the use of the early gas production facility (EGPF) on the Cambay C-73 wellsite, claiming the facility was not specifically referenced.

Oilex asserted that the EGPF was indeed specifically referenced and authorised, under the 17th clause of the EC.

The company said it had enlisted the assistance of both the Ministry of Environment, Forest and Climate Change, which issued the EC, and the Directorate-General of Hydrocarbons, both of which were said to be "very supportive" in resolving the issue.

Oilex confirmed it had a 10-year extension to the production sharing contract at Cambay, expiring September 2029.

"We look forward to an early resolution of this issue which is currently preventing the restart of production on the Cambay field," said chief executive officer Roland Wessel.

At 1147 BST, shares in Oilex were up 10.3% at 0.28p.

Email this article to a friend

or share it with one of these popular networks:

• DIGG
• FACEBOOK
• STUMBLEUPON
• MIXX
• YAHOO BUZZ
• DELICIOUS
• REDDIT
• NEWSVINE