"ONGC Explores Agreements with Global Oil & Gas Giants for 25 Offshore Blocks"

In a strategic move aimed at advancing its exploration and production (E&P) endeavors, India's state-run Oil and Natural Gas Corporation (ONGC) has announced plans to conduct a roadshow in Abu Dhabi, inviting global oil and gas giants to join hands for the development of 25 offshore facilities over the next three years.

The roadshow, scheduled for October 16 and 17, is designed to extend an invitation to international oil and gas companies for potential collaborations in offshore oil and gas projects. ONGC, a Maharatna company, asserts that the event will provide valuable insights into the burgeoning business opportunities within India's offshore oil and gas infrastructure sector.

In line with its ambitious growth agenda, ONGC is committed to an accelerated development program for multiple offshore fields over the coming three years. The company's vision encompasses the establishment of more than 25 offshore facilities, the installation of over 1,000 kilometers of subsea pipelines, and the creation of associated infrastructure, all requiring an investment of $11 billion.

As part of its strategic growth initiatives aligned with the evolving energy landscape, ONGC has crafted an extensive roadmap known as the "Energy Strategy 2040." This comprehensive plan reflects the company's steadfast dedication to doubling oil and gas production, expanding refining capacity, diversifying into renewable energy, and strengthening non-oil and gas ventures.

In pursuit of substantial growth and diversification in its energy portfolio, ONGC places a high priority on the rapid monetization of discoveries through expedited project execution. Additionally, it is making substantial investments in deepwater exploration, improved oil recovery (IOR), and enhanced oil recovery (EOR) projects to maximize production efficiency and tap into previously untapped reserves.

ONGC's capital expenditure (capex) for exploration and production (E&P) activities during the fiscal year 2024 has been raised to approximately ₹10,000 crore, which accounts for roughly one-third of the company's total capex for the fiscal year. Furthermore, it plans to sustain an annual capex of around ₹10,000 crore for exploration over the next five years.

The company is committed to maintaining its capex program of over ₹30,000 crore, with a focus on concentrated exploration and heightened capex investments to rejuvenate mature western offshore fields. Currently, ONGC has 22 major projects (each exceeding ₹100 crore) under implementation, with a total capex of approximately ₹60,000 crore, offering an expected lifecycle gain of around 94 million tonnes of oil equivalent (MTOE). Moreover, it boasts a robust pipeline of more than 40 upcoming projects, carrying an estimated capex of ₹83,000 crore. These endeavors underscore ONGC's steadfast commitment to furthering India's energy goals and solidifying its position as a key player in the global energy landscape.

HBL