ONGC unveils plan to pump in $16 bn

New Delhi, August 30 

India’s top oil and gas producer ONGC today unveiled a $15-16 billion investment plan to double output from its domestic and overseas fields and expand its refining capacity three folds alongside diversification into renewables in a new vision document for 2040.

“The new strategy document aims to transform ONGC in a new ‘avatar’ in this new energy landscape as a diversified energy company with strong contribution from non-E&P businesses,” Oil and Natural Gas Corp (ONGC) chairman and managing director Shashi Shanker told reporters here.

ONGC Energy Strategy 2040 envisions the company as “A diversified energy company with a strong contribution from non E&P business; 3x revenues and about 5-6x market capitalisation,” he said. The firm produced 24.23 million tonne of crude oil in the 2018-19 fiscal year and 25.81 billion cubic metres of natural gas from its domestic fields. Another 10.1 million tonne of oil and 4.736 bcm of gas was produced from its overseas assets.

It had a turnover of Rs 1,09,654 crore and a net profit of Rs 26,715 crore in the year ended March 31, 2019. As on August 16, it had a market capitalisation of Rs 1,64,458 crore. — PTI

New roadmap 

• The company is investing around Rs 86,000 crore in 27 major projects to boost oil and gas production, which has stagnated over the last few years
• With two 35 million tonnes per annum of oil refining capacity vested in its two subsidiaries — HPCL and MRPL, ONGC is targeting to raise this capacity to around 90-100 million tonnes