ONGC Videsh Limited (OVL) Finds Oil and Gas

ONGC Videsh Limited (OVL) is a wholly owned subsidiary and overseas arm of Oil and Natural Gas Corporation Limited (ONGC). It is a Miniratna Schedule “A” Central Public Sector Enterprise (CPSE) under the administrative control of the Ministry of Petroleum & Natural Gas. ONGC Videsh’s main activity is prospecting for oil and gas acreages outside of India, as well as oil and gas exploration, development, and production. In 2019-20, ONGC Videsh owned Participating Interests in 35 oil and gas assets in 15 countries, producing around 30.3 percent of India’s domestic oil and 23.7 percent of oil and natural gas. In terms of both reserves and output.

ONGC Videsh is India’s second-largest petroleum corporation, after its parent ONGC.

Current Assets Portfolio:

Azerbaijan (2 projects), Bangladesh (2 projects), Brazil (2 projects), Colombia (7 projects), Iran (1 project), Iraq (1 project), Libya (1 project), Mozambique (1 project), Myanmar (6 projects), Russia (3 projects), South Sudan (2 projects), Syria (2 projects), UAE (1 project), Venezuela (2 projects), and Vietnam (2 projects) are among the 35 oil and gas projects in which ONGC Videsh has a stake (2 projects).

ONGC Videsh maintains a well-balanced portfolio with a mix of producing, discovered, exploration, and pipeline assets. ONGC Videsh currently produces oil and gas from 14 assets, including four assets where hydrocarbons have been discovered and are in various phases of development, fourteen assets in various stages of exploration, and three pipeline projects.

Competitive Strengths:

ONGC Videsh competes with the best in the industry in the highly competitive worldwide oil and gas market. ONGC Videsh has developed intrinsic competencies and experience in its fields of operations throughout time. ExxonMobil, British Petroleum, Shell, ENI, Total, Repsol, Equinor, MOL, Petrobras, Sodeco, AzACG, Rosneft, ADNOC, Posco International, PetroVietnam, CNPC, Sinopec, PDVSA, Petronas, and Ecopetrol are among the IOCs and NOCs with which ONGC Videsh has formed significant partnerships.

ONGC Videsh has a highly skilled workforce with superior technical and management skills. ONGC has provided technical and human resource support to the company, which has created facilities for oil and gas project evaluation, interpretation, economic modelling, FEED, design, and execution. Due diligence, techno-commercial analysis, bid negotiations, and transaction documentation are among ONGC Videsh’s core competencies.

Production Performance:

The first Indian company to produce equity oil and gas outside of India is ONGC Videsh. The production of ONGC Videsh began in 2002-03, with the launch of Block 06.1 in Vietnam in January 2003. ONGC Videsh’s output increased steadily from its acquired properties in 2010-11, reaching 9.448 MMTOE. Oil output fell to 7.260 MMTOE in 2012-13 due to adverse geopolitical events in North Eastern Africa and a force majeure scenario in Syria.

However, production climbed to 8.357 MMTOE, 8.874 MMTOE, and 8.916 MMTOE in 2013-14, 2014-15, and 2015-16, owing to better management and portfolio additions. With the acquisition of a 26% stake in Vankorneft in Russia in 2016 and a 4% stake in the Lower Zakum Concession in the United Arab Emirates in 2018, ONGC Videsh’s output grew to 12.803 MMTOE in 2016-17 and 14.833 MMTOE in 2018-19. ONGC Videsh produced the most oil and oil equivalent gas (O+OEG) ever in 2019-20, with 14.891 MMtoe.

Aim:

• To be a world-class exploration and production firm that ensures the country’s energy security.

Objectives:

• To help India maintain its energy security.
• In focus countries, construct a well-balanced portfolio of exploration, discovery, and producing assets.
• The goal is to create a high-performing team by using best practices and technologies.
• To compete with the world’s greatest oil and gas corporations.
• To become the most powerful Indian player in worldwide E&P.
• Develop collaborative relationships with your collaborators.

Conclusion:

The Oil and Natural Gas Corporation (ONGC) is an oil and gas exploration and production company controlled by the Indian government. It is owned by the Indian government’s Ministry of Petroleum and Natural Gas. New Delhi is the company’s registered office. The Ministry of Petroleum and Natural Gas is in charge of the operations. It is the country’s largest government-owned oil and gas exploration and production business, producing over 70% of India’s crude oil (equal to around 57 percent of total demand) and 84 percent of the country’s natural gas. The Maharatna title was bestowed on ONGC by the Indian government in November 2010.