ONGC Videsh to increase spending by 65% in FY24 to push overseas operations

ONGC Videsh (OVL) will increase spending by around 65 per cent to Rs 5,000 crore in the next financial year (FY24) from the current financial year to ramp up overseas operations as Russia’s Sakhalin-1 field emerges from force majeure and the chances of finding more oil in Colombia brighten, a top company official said.

OVL will spend around Rs 3,000 crore on its overseas assets, which include 33 areas in 15 countries, said Rajarshi Gupta, OVL managing director, in an interview at India Energy Week in Bengaluru. The company is looking at a mix of acquisitions and organic growth to meet an output target of 40 million tonnes of oil equivalent (MTOE) by 2040, Gupta said, which is four times OVL’s current production.