State-owned Oil and Natural Gas Corp (ONGC) plans to foray into gas retailing business to de-risk its exploration business. In this regard, the company will form new subsidiary -- ONGC Gas. ONGC would use the new subsidiary for its foray into city gas distribution business and sale of imported liquefied natural gas (LNG).
Gas business would help the company de-risk its exploration business with oil and gas output from majority of its old and ageing existing field slated to hit a decline soon. The company’s entire gas is marketed by state-owned GAIL India. It had let go marketing rights on gas from even newer fields as also of LNG imported by Petronet LNG.
Further, the company’s plans to set up a LNG import facility at Mangalore were shelved. But under Sudhir Vasudeva, ONGC is renewing its focus on natural gas, whose share in India's primary energy basket will almost double to 20 percent by 2025.
| Company Name | CMP |
|---|---|
| ONGC | 283.95 |
| Oil India | 470.10 |
| Jindal Drilling&Inds | 540.15 |
| Deep Industries | 476.90 |
| Asian Energy Service | 306.05 |
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