ONGC plans mega ramp up to boost production

Oil and Natural Gas Corporation is reportedly planning to speed up production of selected projects. The shares were trading in green.

The company is set to ramp up production from 13 field development projects and three Enhanced Oil Recovery (EOR) projects. In this process, the company will spend approximately Rs 65,773 crore.

The ongoing field development and EOR/IOR projects are expected to produce a cumulative 54.6 million tonne of crude oil and 114 billion cubic meter (bcm) of natural gas within the next 3-4 years.  About  50 per cent of 54.6 mt of crude oil is expected to be produced from the field development of New Exploration Licensing Policy block, KG-DWN98/2. Also, close to 40 per cent of 114 bcm of natural gas is expected to be produced by the same block.

ONGC is India’s largest government-run corporation and produces about 70% of India’s crude oil and natural gas. The corporation is the biggest public sector commercial organization in India.

On Wednesday, the shares of ONGC opened at Rs. 175 against Tuesday’s close of Rs 174.30. At around 12:42 hours, the stock was trading at Rs 175.35, 0.60 per cent higher than the previous close. It reached an intraday high of Rs 177.95 and an intraday low of Rs. 174.30 per share on the BSE. The 52-week high stood at Rs. 189.50 and 52-week low was at Rs127.90 per share on the BSE.