### **Overview** Oil & Natural Gas Corporation Ltd (ONGC), India’s largest oil and gas exploration and production (E&P) company, continues to strengthen its domestic and international footprint while advancing its transformation into a diversified energy major. With a strategic focus on energy security, reserve replacement, digital innovation, and low-carbon transition, ONGC remains central to India’s hydrocarbon sector and broader energy ambitions. --- ### **Core Operational Highlights (Recent Developments: 2024–2025)** #### **1. Domestic Exploration & Production Growth (Aug–Nov 2025)** - **Deepwater Milestone Achieved**: First oil commenced from the **'M' field** in the **KG-DWN-98/2 block** (Padmawati discovery), marking full monetization of the *U* field and significant progress in ONGC’s deepwater portfolio on India’s east coast. - **New Discoveries**: - **Utkal (MDW-27)** and **Konark (MDW-26)** in Mahanadi Offshore Deepwater. - **East Lakhibari-6** in Upper Assam Shelf: first Cretaceous hydrocarbon discovery in the Assam & Arakan (A&AA) Basin. - **Chandramani (B-56-B)** in Mumbai Offshore: commercial gas discovery in the Diu Formation, opening a new play zone. - As of **April 1, 2024**, ONGC held **187,130 sq. km of exploratory acreage** domestically—the largest in India. - **Seismic Data Acquisition (FY24)**: - 971.81 lakh km 2D and 8,588 sq. km 3D, with 78% in Open Acreage Licensing Policy (OALP) blocks. #### **2. Reserve Replenishment & Strategic Targets** - **Reserve Replacement Ratio (RRR)**: Achieved **1.15 (2P)** in FY24 for domestic fields (ex-JVs), the **18th consecutive year above 1**, underscoring exploration success. - Added **45.20 MMTOE** in 2P reserves during FY24 (ONGC-operated areas). - **Future Exploration Strategy**: Target to bring **500,000 sq. km** under active exploration by **2025**—achieved 80% of 2D seismic acquisition mandate under government programs. #### **3. Unconventional & Frontier Exploration** - **HPHT (High Pressure-High Temperature) Wells**: Drilled two HPHT wells in A&AA and Mumbai Offshore in FY24. - **Basement Reservoirs**: Six wells drilled (five in Cambay, one in A&AA). - **Gas Hydrates**: - Conducted prospection in **Mahanadi Basin**; updated **BSR map (4,000 km²)**. - Developed **HYDRATEMIND**, an in-house ML software for hydrate zone prediction. - R&D underway for India’s first **deepwater gas hydrate pilot production test** in KG-DWN-98/5 block. #### **4. Western & Eastern Offshore Assets** - **Western Offshore** remains the **cornerstone**, contributing ~60% of total production via Mumbai High and Bassein fields. - **Eastern Offshore**: - KG-DWN-98/2 Cluster-II project operational since **February 27, 2024** (wells PDM-D and PDM-F). - 11 subsea wells completed in the field (including water injection). --- ### **International Operations & Subsidiaries** #### **ONGC Videsh Limited (OVL) – Global Arm** - **Cumulative Production**: Surpassed **200 MMTOE**; achieved **Navratna status (Aug 2023)**. - **FY24 Performance**: 7% YoY increase in overseas oil production. - **Key Assets**: - **Mozambique Rovuma Area-1 Project**: 16% participating interest via step-down subsidiaries—**ONGC Videsh Rovuma Ltd (100%)**, **Beas Rovuma Energy Mozambique Ltd (60% owned)**. - **LNG Marketing**: 16% stake in **Moz LNG I Holding Company Ltd** (Abu Dhabi). - **Colombia CPO-5 Block**: 70% stake and operatorship; producing **19,000 bopd** by FY23 end; recent **Urraca-IX oil discovery**. - **Brazil BC-10 Project**: 27% stake; FPSO active. - **Russia (Sakhalin-1)**: Resumed ~200,000 bopd production. - **Other International Holdings**: - 26% in JSC Vankorneft (Russia), 11% in Petro Carabobo (Venezuela), 40% in Falcon Oil & Gas (Netherlands/Abu Dhabi). #### **Downstream & Value Chain Integration** ONGC's strategic vertical integration enhances resilience and value capture: | **Subsidiary/JV** | **Equity Stake** | **Key Role** | |-------------------|------------------|-------------| | **HPCL** | Controlling | 2nd-largest contributor to ONGC’s consolidated net profit in FY24. | | **MRPL** | 71.63% (70.3% fully consolidated via HPCL) | 15 MMTPA refining capacity; 11.5 MMT throughput in FY24. | | **OPaL** | 49.36% | Petrochemical complex in Dahej (1.5 MTPA polymers); ₹14,323 Cr revenue in FY24. | | **OTPC** | 50% | 726.6 MW gas-based power plant in Tripura; supports regional grid. | | **OTBL** | 40.98% (via equity method) | Biotech solutions: MEOR, bioremediation, wax degradation. | | **PMHBL** | 49.996% (with HPCL) | 362 km product pipeline (Mangalore–Bangalore). | - **Mangalore SEZ (MSEZ)**: Joint venture (26% ONGC); 1,607 acres; ~85% leased; hosts 10 industries; attracted $2B+ investment. --- ### **Financial & Strategic Position** - **Subsidiary Performance**: - **HPCL**: Key profit driver in FY24. - **OPaL**: Maintained robust revenue (₹14,323 Cr in FY24), though down from ₹16,065 Cr (FY22). - **Capex & Projects**: - Over ₹30,000 Cr invested in FY23. - 20+ major development projects underway (as of Apr 2022), totaling ₹590 bn investment, to add **85.5 MMTOE** production. - Major projects: **KG-DWN-98/2**, **Assam asset renewal**, and **Western Offshore development**. --- ### **Technology & Innovation** - **Digital Transformation**: - OVL operates a **cloud-based remote workstation**, first in India’s E&P sector. - Implemented **machine learning** for seismic data interpretation (e.g., SAS tool, HYDRATEMIND). - **In-House R&D**: - Developed **CRAM (Common Reflection Angle Migration)** for complex geology. - Patented **seawater-based fracturing fluid**, **visco-elastic surfactant fluids**, and **gelled emulsified acid system**. - **Bio-methanation**, **self-cleaning coatings**, and **catalytic isobutyl benzene synthesis** initiatives ongoing. --- ### **Governance & Restructuring** - Strategic restructuring underway to **enhance group synergies by 2025**, including: - Full ownership of **OMPL** by MRPL. - Board-approved plan to create a **100% owned subsidiary** for full **gas and LNG value chain** operations. - Exploring a **separate entity for renewables and power**. ---