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ONGC's Revival Plan Hits Snag Mid-Year
5 Dec
Summary
- ONGC's planned revival is faltering halfway through the year.
- Key projects like KG-DWN-98/2 and Mumbai High are experiencing delays.
- Expected volume increases have been postponed to the following year.
Oil and Natural Gas Corporation (ONGC), India's largest oil and gas producer, has acknowledged that its much-anticipated revival is faltering midway through the year. This development follows over a decade of declining output and delayed deepwater projects, with the company previously signaling a turning point.
Critical projects are now behind schedule, impacting expected production increases. The flagship KG-DWN-98/2 deepwater field is experiencing delays in its ramp-up, and the historically significant Mumbai High oilfield is lagging in its revival efforts, which were set to involve British Petroleum (BP).
As a result of these setbacks, ONGC is facing a push of key volume increases into the next year. This situation represents another stalled comeback attempt for the state-owned energy giant, which had vowed to reverse its declining production trends.
