Mumbai: Oil and gas behemoth Oil and Natural Gas Corporation (ONGC) on Tuesday said that it is studying the Comptroller and Auditor General (CAG) report, which had questioned the state owned company for hiring a deep sea drilling rig from Reliance Industries without calling for competitive bids, and termed the deal as untenable.

Read more: CAG pulls up ONGC for slow exploration

ONGC Chairman and Managing Director Sudhir Vasudeva said his company was in the process of studying the CAG report and replying to the same.

"We have replied in the past but our view has not been taken into consideration. There were valid reasons. We have gone through a rigid process, rigorous process of diligence etc, duly approved by the board and accordingly we had gone ahead and taken this," Vasudeva said.

"Anybody will not deliberately sell something wrong. We don't think we have done anything wrong, but if there are differences in perceptions, then we will correct those perceptions. That can be done only through dialogues and discussions," the ONGC chairman said.

The CAG report said ONGC "deviated from the standard tendering procedure and hired a rig viz Dhirubhai Deepwater KG-1 (DDKG-1) from RIL without calling for competitive bids for a period of four years on untenable grounds".

In reply to a question, Vasudeva denied reports that the state-run company has bid USD 5 billion for the Canadian assets of ConcoPhillips along with Oil India and Indian Oil, but said it is looking at international assets purchases.

(Agencies)

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