Oil and Natural Gas Corporation’s (ONGC) overseas arm – ONGC Videsh (OVL) signed Production Sharing Contract (PSC) for two shallow water exploration blocks SS-09 & SS-04 in the Bay of Bengal of Bangladesh on February 17, 2014. OVL along with Oil India (OIL) formed a consortium (50:50) and participated in the Bangladesh Offshore Bidding Round 2012, launched by Bangladesh Government during December 2012.
OVL/OIL consortium was officially notified as the winner of two shallow water blocks SS-09 & SS-04on 20th August 2013. Subsequently, the Production Sharing Contract (PSC) was discussed and initialed on September 19, 2013 and the Government of Bangladesh approved the award of the blocks to OVL/OIL consortium on December 03, 2013.
ONGC is a premier oil and gas company in India, accounting for 71% of the country’s crude oil production and 54% of its natural gas production in 2011-12. It is also a significant producer of value added products such as liquefied petroleum gas (LPG), superior kerosene oil (SKO), and naphtha. GoI is the majority shareholder in ONGC, with a 69% equity stake as of now.
