http://www.business-standard.com/article/international/warburg-pincus-to-fund-600-mn-to-rahul-dhir-s-delonex-energy-113061700619_1.html
Rahul Dhir, CEO of Cairn Energy and a man with stellar pedigree, had to run away to Africa to start his own O&G company- the state of the nation, when it comes to OG drilling, is so bad!
-If Rahul Dhir cannot attract funds or does not see the opportunity in India O&G, who will?
-The US O&G industry is thriving because of all the small independents (mkt cap <$2 Bn; example: PETD) who push the frontiers in terms of both geography and technology. Does India have any small independents- no sir no.
-One important factor is land laws- In USA, the landowner owns the sub-surface resources, while in India the government owns the subsurface resources. Therefore, subsurface resources are a free market in the US, while in India its effectively a state controlled market. And we all know which of these two markets gets the job done.
Rahul Dhir, CEO of Cairn Energy and a man with stellar pedigree, had to run away to Africa to start his own O&G company- the state of the nation, when it comes to OG drilling, is so bad!
-If Rahul Dhir cannot attract funds or does not see the opportunity in India O&G, who will?
-The US O&G industry is thriving because of all the small independents (mkt cap <$2 Bn; example: PETD) who push the frontiers in terms of both geography and technology. Does India have any small independents- no sir no.
-One important factor is land laws- In USA, the landowner owns the sub-surface resources, while in India the government owns the subsurface resources. Therefore, subsurface resources are a free market in the US, while in India its effectively a state controlled market. And we all know which of these two markets gets the job done.
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