New Delhi: State-run Oil and Natural Gas Corporation (ONGC) and British energy giant BP have signed a Memorandum of Understanding (MoU) to collaborate on oil and gas projects in India and internationally. The agreement, signed on Monday, comes ahead of India Energy Week and aims to enhance exploration, production, and trading in the energy sector.
Focus on Exploration and Production
The partnership will explore opportunities in offshore oil and gas exploration, including joint bids for blocks under India’s Open Acreage Licensing Programme (OALP). BP’s expertise in deep-water exploration and field management is expected to play a key role in maximizing output from ONGC’s mature assets, including Mumbai High.
The MoU follows ONGC’s recent decision to onboard BP as a technical service provider for boosting production at Mumbai High. Both companies will also evaluate potential projects in carbon sequestration and energy transition initiatives.
Strategic Collaboration in Energy Trading
Beyond oil and gas production, the agreement also covers trading and other energy segments. Over the next three years, ONGC and BP will assess opportunities in domestic and international markets to optimize energy supply chains.
India’s push for energy security and increased domestic production aligns with the partnership, as ONGC looks to bring in global expertise to revive output from aging fields. Meanwhile, BP, which already has a strong presence in India through its joint venture with Reliance Industries, is expected to leverage this collaboration to expand its footprint in the country’s upstream sector.
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