ONGC Partners with BP for $10.3 Billion Revenue Boost

State-owned ONGC is set to increase oil and gas production by partnering with BP, leading to a $10.3 billion revenue increment. The partnership focuses on the Mumbai High field, aiming for substantial production increases. BP, as the technical service provider, will deploy advanced technologies to enhance output.

The Oil and Natural Gas Corporation (ONGC), a state-owned enterprise, anticipates a significant boost in revenue, approximately $10.3 billion, due to increased oil and gas production. This spike is expected from their collaboration with BP, focusing on the Mumbai High field in a strategic alliance.

BP Exploration (Alpha) Ltd has been engaged as the technical service provider, bringing extensive expertise to enhance extraction at the Mumbai High oil and gas field. The goal is to increase crude oil production by 44% and gas production by 89% over a ten-year contract period.

Effective measures are anticipated by FY26, with full-scale results expected by FY28. This initiative notifies the government's participation in the form of royalties and levies, estimated to contribute up to $5 billion. ONGC, responsible for a majority of India's oil output, sees this partnership as vital to meet the country's expanding energy needs.

(With inputs from agencies.)