ONGC Signs Landmark Long-Term Ethane Handling Agreement with Petronet LNG
ONGC becomes the first Indian CPSE to sign a long-term Ethane USH Services Agreement with Petronet LNG, securing 600 KTPA handling capacity at the upcoming Dahej terminal to support OPaL’s petrochemical operations.
In a historic development for India’s energy sector, ONGC has become the first Central Public Sector Enterprise (CPSE) in the country to sign a long-term Ethane Unloading, Storage and Handling (USH) Services Agreement with Petronet LNG Limited (PLL). The agreement, executed on 3 December 2025, enables ONGC to utilise 600 KTPA of Ethane terminalling and handling capacity at PLL’s upcoming Dahej facilities.
The strategic partnership significantly strengthens India’s Ethane import infrastructure and ensures a stable supply of feedstock for ONGC Petro additions Limited (OPaL), which operates a major petrochemical complex at Dahej. With this long-term arrangement in place, ONGC aims to secure consistent Ethane availability, a critical input for producing a wide range of petrochemical products.
Industry experts state that this agreement will play a crucial role in supporting India’s long-term petrochemical demand, enhancing domestic manufacturing competitiveness, and reducing dependency on alternative high-cost feedstocks. The efficient handling of Ethane at Dahej is also expected to improve operational reliability for OPaL while contributing to the broader goal of making petrochemicals more affordable for the Indian market.
This collaboration marks a major milestone in India’s mission to develop world-class petrochemical infrastructure and strengthen the nation’s industrial supply chain.