India's largest oil and gas producer Oil and Natural Gas Corp., has approved a Rs 990 million equity investment in its newly created wholly-owned subsidiary ONGC Green Ltd.
The company's board has also accorded in-principle investment approval in additional equity of Rs 11 billion in ONGC Green, according to an exchange filing. This additional investment would be at a later date in furtherance of its business expansion, it said.
ONGC Green Ltd. was incorporated as a wholly-owned subsidiary of ONGC on Feb. 27 to pursue renewable energy, bio-fuels, green hydrogen, and carbon capture projects.
It is proposed to be engaged in renewable energy spaces like solar, wind, hybrid, hydel, tidal and geothermal. It will also engage with renewable energy sources like biofuels and biogas, green hydrogen and its derivatives like green ammonia and green methanol. ONGC also stated that the company will also be involved in storage, carbon capture utilization and storage, and the liquefied natural gas business.
The company was set up with an authorized capital of Rs 10 billion; the company subscribed to 1 million shares of face Rs 10, which is 100% of ONGC Green's shareholding.
