Millennium Post

ONGC notifies 14 discoveries in H1

India's national integrated energy company Oil and Natural Gas Corporation Ltd (ONGC) notified 14 discoveries in the first half year of fiscal 2012-13.

During the period it also entered into a farm-out agreement (FOA) with Japan's largest national oil company INPEX Corporation, handing a 26 per cent participating interest to INPEX in the deep water exploration Block KG-DWN-2004/6 of the Krishna Godavari Basin. This was awarded to the ONGC-led consortium under the NELP-VI licensing round.

ONGC continues as the Operator with a 34 per cent participating interest. The existing consortium partners GAIL (India) Ltd (10 per cent), Gujarat State Petroleum Corporation Ltd (10 per cent), Hindustan Petroleum Corporation Ltd (10 per cent) and Oil India Limited (10 per cent) have given their consent to this farm-out.

The first half of the current fiscal (2012-13) also saw the inauguration of the Mumbai High North (MHN) platform on October 21 by chairman and managing director (CMD) Sudhir Vasudeva,. The new offshore complex, built adjacent to the BHN platform on Arabian Sea where several lives were lost in an accident in 2005, was dedicated to the nation and these martyrs.

Constructed at a cost of Rs 6,060 crore, the platform will add oil pumping of 48,000 bopd and gas compression of 6.9 mmscmd in the MH North field.

During the designing of the platform, ONGC discovered a B-series satellite field nearby. It will process B-series sour gas on this platform, which will add 1.6 million cubic meter of gas for ONGC.
The company reported a 32 per cent fall in net profit for the quarter ended September 2012. The net profit decreased to Rs 58.96 billion compared to Rs 86.42 billion in the same period last year.

The total income decreased 9.44 per cent to Rs 217.86 billion from Rs 240.58 billion for the corresponding period last year.

The lower profit in the quarter is attributed to average crude oil prices and the discount that Oil and Natural Gas Corporation Ltd gave to oil marketing companies (OMCs) for selling fuel at controlled rates.

The discount to oil marketing companies was Rs11,965 crore against Rs 12,039 crore in the corresponding quarter of last year.

During the quarter, the operating profit margin decreased to 33.3 percent from 48.3 percent for the same period of financial year 2011-12.

The company net sales fell 13 per cent to Rs 19,788 crore. Its other income was up to Rs 1,901 crore as compared to Rs 1,038 crore in the corresponding quarter of the previous year.

The shares of the company declined 0.53 per cent by Rs.1.40 and settled at Rs 265.20 at the Bombay Stock Exchange (BSE) on Thursday.
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