ONGC Petro Additions Ltd.

ONGC approves investment of Rs. 7,778 Cr in OPaL

August 22, 2024

The Board of Directors of Oil and Natural Gas Corporation Ltd. (ONGC) at its meeting has considered and approved investments of Rs. 7,778 crore in ONGC Petro additions Limited (OPaL). 

Additional equity infusion to ensure viability of OPaL, to provide feedstock support and other suitable measures. 

Payment of balance call money of Rs. 86.281 crore (@Rs. 0.25/per warrant) with respect to share warrants subscribed by the company and conversion of said warrants into equity shares and Buy-back of Compulsorily Convertible Debentures (CCDs) issued of Rs. 7,778 crore in 3 tranches by OPaL from Financial Institutions/Banks/Mutual Funds and other holders on or before put/call/buy option dates of respective tranche(s) and conversion of said CCDs into equity shares. 

The company holds an equity stake of 49.36% in the share capital of OPaL. In addition, conversion of “warrants into equity shares” would enhance equity stake to 81.28% and subsequent “conversion of CCDs into equity shares” would further enhance the equity stake to 92.27% in diluted share capital of OPaL. 

The Board also noted the decision of Government of India, as an interim measure, 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.  

Accordingly, the Board has also noted for supply of natural gas from new wells or well interventions of nomination fields to ONGC C2-C3 plant at Dahej for extraction of C2/C3/C4 for an interim period of five years for swap replenishment supply as per the existing mechanism or upto 3.2 MMSCMD of domestic natural gas, whichever is lower.

ONGC to invest Rs one lakh cr for Petrochem capacity expansion

April 26, 2023

The Oil and Natural Gas Corporation (ONGC) is planning to invest Rs one lakh crore by 2030 towards expansion of its petrochemicals manufacturing capacity. This will include setting up new facilities to produce chemicals directly from crude. With this, the combined petrochemicals capacity of MRPL and OPaL is targeted to reach more than double to eight million tpa by 2030. Under the expansion plan, two mega projects, one each on the eastern and the western coast, will be set up, wherein the facilities will either directly use crude to produce chemicals or take other feedstocks. The crude produced in the country by ONGC could also be utilised as feedstock for its crude-to-chemical facility. ONGC's plans are likely to be implemented by its subsidiary, Mangalore Refinery and Petrochemicals (MRPL), and its joint venture (JV) ONGC Petro additions (OPaL). The petrochemical segment has wider applications, and it is expected that its usage may last longer than regular transportation fuels. Further, the move is aligned to the government’s thrust to propel India to become a major petrochemical hub in the world. 

Mangalore Refinery and Petrochemicals Limited receives patent for process distillation

October 08, 2020

The Mangalore Refinery and Petrochemicals Limited (MRPL NSE -2.92 %) has been awarded a patent on process distillation of petroleum fractions by making use of fuel gas-hydrocarbon vapours instead of steam.

India’s OMPL offers benzene for 2020

January 02, 2020

Indian petrochemical producer, OMPL Mangalore Petrochemicals has offered up to 54,000t of benzene to overseas buyers through a tender issued today.

ONGC shelves plan to sell stake in OPaL

November 28, 2019

Unable to attract a strategic partner for ONGC Petro Additions Ltd (OPaL), Oil and Natural Gas Corp. has shelved its stake sale plans for the petrochemical unit, said two people aware of the development, requesting anonymity.

ONGC considers buying out rest of petrochemical project

September 06, 2019

India's Oil and Natural Gas Corp Ltd plans to buy out the rest of a western Indian petrochemical project it does not already own and launch a public offering if it fails to find a strategic partner for it, its head of finance said on September 11.

ONGC seeks shareholder nod to help OPAL raise ₹2,680 cr

August 06, 2019

The board of Oil and Natural Gas Corporation (ONGC) has offered to help ONGC Petro Additions Ltd (OPAL) raise debt resources of ₹2,680 crore.

ONGC may buy CCDs of its unit

June 23, 2019

Oil and Natural Gas Corp. Ltd (ONGC) may buy ₹5,615 crore worth of compulsorily convertible debentures (CCDs) of ONGC Petro additions Ltd (OPaL) after failing to find an equity investor for its petrochemicals arm, said two people directly aware of the matter.

India’s Opal shuts PP unit: Update

May 07, 2019

Indian state-controlled petrochemical producer ONGC Petro Additions (Opal) shut its 340,000 t/yr polypropylene (PP) unit earlier this week because of a technical issue.

‘Buy’ ONGC shares, OPaL’s prospects make for a positive

April 02, 2019

The company is in process of converting its INR loans to USD, as it can provide a natural hedge against its exports, resulting in savings of Rs 2 bn.