Oil and Natural Gas Corporation (ONGC) has received approval from Government of India (GoI) for infusion of additional equity capital upto Rs 10,501 crore in ONGC Petro additions (OPaL), conversion of back stopped Compulsorily Convertible Debentures (CCDs) amounting to Rs 7,778 crore and balance payment of Rs 86 crore with respect to share warrants, totalling to Rs 18,365 crore.
This will change the status of OPaL into subsidiary of ONGC with 95.69% equity stake. The approval also provides roadmap for OPaL. GoI has also permitted to allocate 50% of the annual gas production from new wells or well interventions in nomination fields of ONGC or upto 3.2 MMSCMD of domestic natural gas, whichever is lower, for providing feedstock support to OPaL, at a price up to 20% above APM price. APM Price of natural gas per MMBTU is 10% of Indian Crude basket price per barrel of Oil.
ONGC is India’s largest government-run corporation and produces about 70% of India’s crude oil and natural gas. The corporation is the biggest public sector commercial organization in India.
Company Name | CMP |
---|---|
ONGC | 289.45 |
Oil India | 547.05 |
Jindal Drilling&Inds | 587.35 |
Hind Oil Exploration | 221.00 |
Deep Industries | 404.95 |
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