The Oil and Natural Gas Corporation (ONGC) has agreed to pay Rs. 8,392 crore to the Gujarat government regarding royalty fee for crude production.
Of Rs. 8,392 crore, 15% (being the first instalment) will be paid before March 31 and the balance before July 2017.
The case, pertaining to the dispute involving the Gujarat government and the oil PSU, had been pending in the Supreme Court after ONGC lost the case in the Gujarat High Court in 2013.
However, both the parties decided to settle the dispute out of court.