Sanctions on Russia may result in impairment losses for ONGC, others: Moody’s

Indian companies’ value of investments in Russia’s oil and gas fields could be impaired as import bans and international sanctions may constraint future cash flow generating capacity, Moody’s Investors Service said Thursday. Oil and Natural Gas Corporation (ONGC), Oil India Ltd (OIL), Indian Oil Corporation (IOC) and Bharat Petroleum Corporation Ltd (BPCL) have invested in upstream oil and gas assets in Russia.

“Import bans and international sanctions on Russia may constrain the future cash flow generating capacity of these assets and lead to impairment losses for the companies,” the rating agency said in a note.