ONGC shares to get major boost amidst collaboration with UK-Based BP

State-owned CPSE, Oil and Natural Gas Corporation (ONGC) anticipates a significant boost in revenue, approximately $10.3 billion, due to increased oil and gas production. The stock price will also ramp up against market volatility, with a 52-week high of Rs 272.59 and a 52-week low of Rs 263.75 and expected to deliver 60% output.

The recent surge in activity is attributed to a collaboration with BP, focusing on the Mumbai High field through a strategic alliance. BP Exploration (Alpha) Ltd is serving as the technical service provider, bringing significant expertise to enhance extraction efforts in the Mumbai High oil and gas field.

The objective is to increase crude oil production by 44% and gas production by 89% over a ten-year contract period.

Effective measures are expected to be implemented by FY26, with full-scale results anticipated by FY28. This initiative also involves government participation in royalties and levies, which are projected to contribute up to $5 billion. ONGC, which accounts for the majority of India's oil output, views this partnership as essential to meeting the country's growing energy demands.