Bid & Tender

News

ONGC Approves Formation of JV for Petchem Marketing for North East Gas Grid

The board of ONGC has approved the creation of a joint venture (JV) for integrated petrochemicals marketing, with a 50:25:25 shareholding distribution between ONGC, MRPL, and ONGC Petro additions (OPaL), respectively. As part of the agreement, ONGC will contribute Rs 25 crore as its equity stake. However, the proposal is still awaiting clearance from the Department of Investment and Public Asset Management (DIPAM).

In addition to the JV, the board also approved an equity investment of up to Rs 79.48 crore and a corporate guarantee of up to Rs 185.45 crore to Indradhanush Gas Grid (IGGL) for the Duliajan Feeder Line, a key part of the North East Gas Grid Project. This initiative aligns with the Ministry of Petroleum and Natural Gas' directives and brings ONGC’s total financial exposure in the project to Rs. 264.93 crore.

This move is consistent with ONGC’s ongoing commitment to support national infrastructure projects, particularly in the northeast, reinforcing its role as a key capital provider for such mandates.

BACK

Related News