State-run Oil India is planning to raise $400 million via external commercial borrowings (ECB). The company will utilize these funds to finance $650 million of capital expenditure this year. It also plans to enter the liquefied natural gas (LNG) business.
The company, in the previous financial year, had raised about $50 million through ECB at 0.68% of Libor (London interbank offered rate) and is expecting better rates this year. Further, the cash-rich exploration firm is in negotiations for several oil and gas assets abroad and expected to complete at least one deal soon.