New Delhi: The Centre has greenlit an additional investment of ₹18,365 crore by ONGC into ONGC Petro-additions Limited (OPaL), elevating ONGC’s stake from 49.36 percent to 95.69 percent. This substantial investment will facilitate a capital restructuring that aims to enhance the operational and financial stability of OPaL.
Located in Dahej, Gujarat, OPaL operates a state-of-the-art petrochemical complex, inaugurated in 2017, which features the largest standalone dual feed cracker in South-East Asia. The facility boasts a production capacity of 1.5 MMTPA of polymers and 0.5 MMTPA of chemicals. With a 12 percent market share, OPaL maintains a robust presence in India’s polymer market.
“This infusion increases ONGC’s cumulative investment in OPaL to ₹22,728 crore. The government’s approval will rectify OPaL’s capital structure to a healthy debt-equity ratio,” ONGC said in a statement. The approval also ensures OPaL a sustained supply of gaseous feed from ONGC’s new gas from nomination fields at a premium of up to 20 percent over the Administered Price Mechanism (APM) gas price.
The increase in equity and the guaranteed feed supply are expected to ensure steady performance for OPaL, aligning with ONGC’s strategic vision of becoming an integrated global energy major. This move further strengthens ONGC’s position in the downstream and petrochemical sectors, aiming to amplify its impact across the global energy landscape.
