0.85 (0.36%) ONGC’s $2.475 billion purchase of Videocon Group’s 10 percent stake in a giant Mozambique gas field has come under the Oil Ministry’s scanner following allegations that the PSU may have overpaid about $200 million, charges that the company vehemently denied.
ONGC Videsh, the overseas arm of state-owned Oil and Natural Gas Corporation (ONGC), had in June 2013 bought 10 percent stake in the Offshore Area 1 from Videocon Group for $2.475 billion. This stake was later divided between OVL and Oil India in 60:40 ratio.
ONGC is India’s largest government-run corporation and produces about 70% of India’s crude oil and natural gas.