The transaction also includes acquiring a 0.737% shareholding in the Baku-Tbilisi-Ceyhan (BTC) pipeline company through its subsidiary, ONGC BTC Ltd. The acquisition, valued at approximately $60 million, was completed on November 29, 2024.
This investment expands ONGC Videsh’s existing stake in Azerbaijan’s energy assets, where it already holds a 2.31% PI in the ACG field and a 2.36% share in the BTC pipeline.
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The ACG field, located in the Caspian Sea, is one of the largest oil fields in Azerbaijan and a significant contributor to the country’s oil output. The BTC pipeline, which runs from Azerbaijan to Turkey via Georgia, serves as a major export route for Caspian oil.
ACG is a super-giant offshore field in the Caspian Sea operated by oil major BP since 1999. The field has been developed in phases and a seventh production platform, Azeri Central East, has been commissioned in early 2024. The other partners in the field are SOCAR, MOL, INPEX, Exxon, Turkiye Petrolleri AO and Itochu.
The field has a contract term till December 31, 2049. Baku-Tbilisi Ceyhan (BTC) pipeline carries oil from the Azeri-Chirag-Deepwater Gunashli (ACG) field and condensate from Shah Deniz across Azerbaijan, Georgia and Türkiye. It links the Sangachal terminal on the shores of the Caspian Sea to the Ceyhan marine terminal on the Turkish Mediterranean coast.
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ONGC Videsh’s production of Oil and Oil Equivalent Gas (O+OEG) during FY’24 was 10.518 MMtoe and is currently producing about 200,000 barrels of O+OEG per day. As of April 1, 2024, ONGC Videsh has total Oil & Gas reserves (2P) of about 476 MMtoe while its parent, ONGC has 2P reserves of 704 Mmtoe.
Shares of Oil and Natural Gas Corporation Ltd ended at ₹256.75, up by ₹4.65, or 1.84% on the BSE.
