BP and ONGC: Revitalizing Mumbai High's Oil Output

Oil giant BP has partnered with ONGC to raise production in Mumbai High by 60% over ten years. BP will enhance oil recovery by leveraging its experience in large fields, promising an increase in oil and gas output and USD 10.3 billion in revenue uplift for ONGC.

In a significant development for India's oil sector, Oil and Natural Gas Corporation Ltd (ONGC) has entered into an agreement with global oil major BP aimed at boosting output from its flagship Mumbai High oil and gas field by up to 60% over the next decade.

BP will serve as the Technical Services Provider for the Mumbai High field, which is India's largest and most prolific offshore oil field. ONGC will maintain ownership and operational control, while BP will be compensated through a service fee structure linked to increased production.

The collaboration is expected to stabilize production decline and drive robust growth, with BP estimating increased oil and gas production by as much as 44% and 89% respectively, over the contract period. Revenue from the increased output is projected to bring a USD 10.3 billion boost to ONGC.

(With inputs from agencies.)