Oil and Natural Gas Corporation Limited

The Oil and Natural Gas Corporation Limited (ONGC) established in 1956 is a cornerstone of India's energy landscape. Headquartered in Delhi, ONGC operates as a central public sector undertaking under the Ministry of Petroleum and Natural Gas, Government of India. With a legacy of over six decades, ONGC has cemented its position as the largest government-owned oil and gas explorer and producer in India. Its operations span globally, with subsidiaries such as Hindustan Petroleum, Imperial Energy Corporation, and Petronet LNG.

ONGC's core activities encompass the entire spectrum of the oil and gas industry, from exploration and production to refining and marketing. It plays a pivotal role in meeting India's energy needs, contributing around 70% of the nation's domestic crude oil production and approximately 84% of its natural gas production. The company's diverse portfolio includes petroleum, natural gas, LNG, lubricants, petrochemicals, and electricity.

ONGC's exemplary performance has garnered widespread recognition, positioning it as a leader in the industry. In a survey by the Government of India for the fiscal year 2019–20, ONGC was ranked as the largest profit-making Central Public Sector Undertaking (PSU) in India. Additionally, it holds the prestigious Maharatna status, conferred by the Government of India in November 2010, acknowledging its outstanding contributions to the nation's energy sector.

Over the years, ONGC has demonstrated resilience and innovation, maintaining production levels from mature fields like Mumbai High through strategic investments in Improved Oil Recovery (IOR) and Enhanced Oil Recovery (EOR) schemes. Its commitment to technological advancement and sustainable practices underscores its mission to be a leading global energy company.

Before India gained independence in 1947, the nation's oil production was primarily facilitated by two companies: the Assam Oil Company in the northeast and the Attock Oil Company in the northwest. However, exploration efforts were minimal, and much of India's sedimentary basins were considered unsuitable for oil and gas development.

Recognising the crucial role of oil and gas in fostering rapid industrial growth and ensuring national security, the Indian government prioritised the development of the petroleum industry. This emphasis was underscored in the Industrial Policy Statement of 1948, which highlighted the industry's significance for the country's economic progress.

Until 1955, private oil companies dominated exploration activities across India. In Assam, the Assam Oil Company operated the Digboi oil field, discovered in 1889, while Oil India Ltd. developed the Naharkatiya and Moraan fields. In West Bengal, the Indo-Stanvac Petroleum project, a joint venture with Standard Vacuum Oil Company of the USA, conducted exploration work. However, vast swathes of Indian territory remained unexplored for hydrocarbons.

In 1955, the Indian government embarked on a public sector-driven approach to develop the nation's oil and natural gas resources. This led to the establishment of the Oil and Natural Gas Directorate in late 1955 under the Ministry of Natural Resources and Scientific Research. Comprising geoscientists primarily from the Geological Survey of India, the Directorate aimed to spearhead exploration and production efforts.

A delegation, led by the Minister of Natural Resources, studied oil industry practices in European countries and sought expertise from nations like Romania, the Soviet Union, the United States, and West Germany. Soviet experts collaborated with India to devise comprehensive plans for geological surveys and drilling operations, aligning with India's second Five-Year Plan (1956–61).

In April 1956, the Indian government classified the Mineral Oil Industry as a 'schedule A' industry, marking it as a state-controlled sector. Subsequently, in August 1956, the Oil and Natural Gas Directorate was elevated to the status of a commission, endowed with enhanced powers. By October 1959, the commission attained statutory status through an act of the Indian Parliament, delineating its functions and responsibilities.

From 1961 to 2000, ONGC played a transformative role in India's oil and gas sector, expanding its operations domestically and venturing into overseas territories. Inland discoveries in Assam and the Cambay basin marked significant milestones, establishing new oil provinces and bolstering India's energy security. ONGC's foray into offshore exploration culminated in the discovery of Bombay High, a colossal oil field, reshaping the nation's oil landscape.

The company's strategic shift towards self-reliance and expertise development in Exploration and Production (E&P) activities elevated its global standing. In 1994, ONGC transitioned into a public-listed entity, with partial equity divestment, reflecting its financial robustness and market confidence. Under the visionary leadership of Chairman Keshav Dev Malaviya, ONGC embarked on international ventures, securing exploration licences in the Persian Gulf and partnering with multinational corporations like ENI and Phillips Petroleum. These efforts led to landmark discoveries such as the Rostum oilfield, marking India's inaugural foreign investment in the oil sector.

Entering the 21st century, ONGC's subsidiary, ONGC Videsh Limited (OVL), embarked on ambitious acquisitions, securing stakes in lucrative projects like the Greater Nile Oil project. The company's golden jubilee in 2006 was commemorated with a prestigious coin set, underscoring its pioneering contributions to India's energy landscape. Subsequent years witnessed ONGC's continued pursuit of growth and innovation, evident in landmark investments like the acquisition of Hindustan Petroleum Corporation.

ONGC encountered difficulties due to fluctuations in oil output, which compelled the company to make strategic changes in favour of deepwater and ultra-deepwater exploration. The company persevered in its dedication to technological progress and sustainable expansion despite these obstacles, as demonstrated by its investments in deep-water drilling and offshore gas processing projects. ONGC has demonstrated resilience and strategic insight through its relentless drive to handle industry challenges and its proactive posture towards future exploration. 

ONGC's mission is to be at the forefront of India's energy security, pioneering sustainable exploration and production practices while adhering to the highest standards of corporate governance and environmental stewardship. Committed to technological innovation and operational excellence, ONGC aims to maximise value for stakeholders through prudent resource management and strategic investments in both domestic and international markets. By fostering a culture of integrity, inclusivity, and social responsibility, ONGC strives to contribute significantly to the nation's economic growth and societal well-being while maintaining its position as a global leader in the oil and gas industry.

ONGC envisions a future where it continues to be a global leader in the oil and gas sector, pioneering technological innovation and sustainable practices. With a commitment to excellence, it aims to enhance energy security, foster economic growth, and contribute to societal well-being. Embracing the principles of responsible stewardship, ONGC strives to unlock the full potential of hydrocarbon resources, while prioritising environmental conservation and community engagement. Through collaboration and ingenuity, ONGC seeks to shape a future where energy remains accessible, affordable, and environmentally sustainable, driving progress and prosperity for generations to come.

ONGC, as India's premier oil and gas exploration and production company, offers a comprehensive range of products and services that cater to diverse energy needs and industry requirements.

In terms of products, ONGC is primarily engaged in the exploration, development, and production of crude oil and natural gas resources. These hydrocarbons form the backbone of India's energy sector, powering industries, transportation, and households across the nation. Additionally, ONGC produces liquefied natural gas (LNG), which serves as a cleaner and more efficient alternative to traditional fuels.

Beyond hydrocarbons, ONGC also manufactures and distributes a variety of petroleum-based products, including lubricants and petrochemicals. These products find application across numerous industries, from automotive and manufacturing to agriculture and pharmaceuticals, contributing to India's economic growth and industrial development.

In terms of services, ONGC provides expertise in drilling, reservoir management, and project execution, offering consultancy and technical assistance to both domestic and international clients. Furthermore, ONGC's subsidiary, ONGC Videsh Limited (OVL), specialises in overseas exploration and production activities, leveraging its expertise to secure strategic assets and partnerships worldwide. Through its diverse portfolio of products and services, ONGC remains at the forefront of India's energy sector, driving innovation and sustainable growth.