Now Reading: Vedanta challenges Centre’s rejection of oil block extension in Delhi HC
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Vedanta challenges Centre’s rejection of oil block extension in Delhi HC
Vedanta challenges Centre’s rejection of oil block extension in Delhi HC
Vedanta Ltd told the Delhi High Court on Wednesday that the Centre cannot reject its 10-year extension application for the CB-OS/2 block in the Cambay Basin based on unstated revenue-maximisation criteria. The…
The Story in Brief
Vedanta Ltd told the Delhi High Court on Wednesday that the Centre cannot reject its 10-year extension application for the CB-OS/2 block in the Cambay Basin based on unstated revenue-maximisation criteria. The mining major is appealing a single-judge order that upheld the government’s September 2025 rejection. Senior advocates Mukul Rohatgi and Jayant Mehta argued that the 2017 Extension Policy must be followed unless formally amended. Vedanta pointed to similar extensions granted to other blocks and its nearly 28-year record and $10 billion investment in India’s oil and gas sector. The company also argued that replacing an experienced operator would risk production and require fresh investment. The case will be heard next on 18 August.
The Indian Opinion
The government’s push for higher revenue from the Cambay Basin must follow its own rules, not unstated criteria. Vedanta’s long record and investment are real, but so is its unilateral deduction of the government’s share of profit petroleum. That action rightly raises questions about good faith. A fair policy is one applied equally to all operators. The next hearing on 18 August will test whether the court can balance the Centre’s fiscal interests with the sanctity of announced policies, without sliding into ad hoc decision-making.
Source: livemint.com
This story was synthesised by AI from the source linked above.
