Join us on

Oil and Natural Gas Corp (ONGC)

Oil and Natural Gas Corp (ONGC)

Industry: 
Energy
Symbol: 
NSE:ONGC
Country: 
India
Contact Information: 
Sources: 

“The US administration has moved ONGC Videsh [OVL] out of a list of companies known to have energy ties with Iran, but retained parent ONGC on the list, an act for which it can be sanctioned by Washington. The US Government Accountability Office, in a recently released report, moved ONGC Videsh Ltd, the overseas arm of state explorer Oil and Natural Gas Corp (ONGC), and three others, including Petronet LNG, out of the list…’Since our last report in December 2012, we have moved four firms -- INA (of Croatia), ONGC Videsh Ltd, Petronet LNG, and Sasol -- to the "withdrawn" category,’ the GAO report said. The US Iran Sanctions Act (ISA) provides for sanctions against persons, including foreign firms, investing more than $20 million in Iran's energy sector in any 12-month period. GAO listed four of the 43 firms identified in 2010 as having ‘active’ energy ties with Iran. These included ONGC and Oil India Ltd…Previously, IOC, along with OVL, ONGC, OIL and Petronet, were listed as firms that had active ties with Iran. OVL and OIL explored for oil and gas in Iran's Farsi block and proposed investing $5.5 billion to produce gas from the 21.68 trillion cubic foot discovery they made in the offshore area located near the Saudi Arabian border…But OVL, the operator of the project, never invested a penny and put field development on the back-burner.“ (Economic Times, “US moves ONGC Videsh out of list of firms with ties to Iran,” 4/10/14) 

--

"A U.S. Congress investigative arm has identified four companies that did business with Iran's energy sector over roughly the past year, despite global sanctions. Based on open-source information, the U.S. Government Accountability Office on Tuesday pinpointed two companies in China and another two in India dealing with Tehran's energy industry during a 13-month period ending in November. Any or all of the parties could come under new global pressure to cease their joint projects...Oil India and another Indian firm, Oil and Natural Gas, each told U.S. auditors they had divested from gas field development efforts noted in their annual reports. However, the investigators still labeled the firms as ‘active’ collaborators with Iran during the recently concluded reporting period." (Global Security Newswire, “Iran's Business Partners Face New Sanctions Scrutiny,” 1/9/14)

--

"Iran has offered the first such pact globally since the 1979 revolution that overthrew the monarchy in Iran to an Indian consortium comprising ONGC Videsh Ltd (OVL), Indian Oil Corp. Ltd (IOC) and Oil India Ltd, which won a bid for the block in 2002 from National Iranian Oil Co... OVL, the overseas arm of state-owned explorer Oil and Natural Gas Corp. Ltd. (ONGC), is the operator of the block, in which it holds a 40% stake. IOC has an equal stake and the balance 20% is held by OIL." (The Wall Street Journal, "Indian firms to ink production-sharing contract with Iran," 6/16/2013)

"Indian state-run firms led by ONGC's contract for exploring the gas-rich Farsi block too is a service contract which if converted into a production sharing regime would mean that New Delhi can get close to 13 trillion cubic feet of gas." (Reuters, "Iran offers new oil contracts to lure India," 5/4/2013) 

--

"India's Oil and Natural Gas Corp.'s plans to develop a gas field in Iran are in the balance as the company's exposure to the sanctions-hit OPEC member may hit aspirations for U.S. energy assets, Chairman Sudhir Vasudeva said on Tuesday... Mangalore Refinery and Petrochemicals Ltd, a subsidiary of ONGC, the country's biggest oil and gas producer, is one of the key Indian oil clients of Iran. ONGC is in talks with the Iranian government to develop the Farzad B gas field in the Farsi block. It also has a 25 percent stake in the Greater Nile project in Sudan. Indian companies including Oil India Ltd and ONGC plan to buy a part of ConcoPhillips' Canadian oil sands assets worth around $5 billion... The Indian government has charged ONGC with securing energy supplies overseas to fuel the country's fast-growing economy. ONGC invests in foreign assets through is unit ONGC Videsh Ltd. A year ago ONGC Videsh announced a shift in its policy when its then managing director, Jomen Thomas, said his firm sought to buy assets in politically less risky countries like North America to cut its risk and boost output... ONGC last month announced the discovery of more oil reserves in its D1 field off India's western coast." (Reuters, "India ONGC says presence in Iran, Sudan may affect US plans," 9/4/2012)

 

--

"Major Indian energy companies, including Oil & Natural Gas Corp., have been exploring how to jointly develop energy resources with Iranian partners." (AFP, "Indian oil giant optimistic over Iran supply," 1/6/11)

--

"The Indian government has asked its public sector oil firms to seek legal opinion on the impact of the latest round of US sanctions on Iran on their investment in the Persian Gulf nation, Oil Secretary S Sundareshan said here. The US administration had in May named Oil and Natural Gas Corporation, ONGC Videsh Ltd, Oil India Ltd, IndianOil, Hinduja Group and Petronet LNG among the 41 firms worldwide having energy ties with Iran, an act for which it may impose sanctions on them." (Financial Express, "Oil PSUs seeking legal opinion on Iran sanctions," July 22, 2010)

--

"India's Oil and Natural Gas Corp (ONGC.BO) and the Hinduja group will jointly get a 40-percent stake in Iran's South Pars-12 project, Managing Director of Iran's national oil company Seifollah Jashnsaz said." (Reuters, "India, Angola cos to get stake in Iran project," 12/1/09)

--

"The enormous New York State Common Retirement Fund plans to divest $86.2 million in investments from nine companies doing business in Sudan and Iran...The decision comes after two years of reviewing these companies, the potential risk of the investments and, in some cases, humanitarian efforts in these countries."We don't expect our investments to benefit regimes that support genocide and terrorism," said DiNapoli.  The fund plans to divest out of $86 million in Gazprom (OGZPY), Inpex (1605.TO), Lukoil (LUKOY), Oil And Natural Gas Corp (500312.BY), OMV (OMVKY), Petroleo Brasilia (PBR), Statoil (STO), Wartsila OYJ and Sinopec Corp. DiNapoli said the firms were chosen because "they failed to respond or we were not satisfied with their responses" when asked to provide information to the fund on the investments and their risks." (Dow Jones Newswires, "NY Comptroller To Divest $86.2M In State Pension Fund Investments," 6/30/09)

--

"India's ONGC, along with Indian Oil Corp and state-owned Oil India, has announced plans to pursue a $5 billion project to develop the Farzad field in the Gulf.  For ONGC's part, they hold a 40% interest in the consortium." (Reuters, 6/26/2009)

Response: 

No response at this time.

Tags: