Now Reading: ONGC targets higher output as Q1 profit rises 21%
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ONGC targets higher output as Q1 profit rises 21%
ONGC expects oil and gas production to reach about 39 million metric tonnes of oil equivalent this financial year and 40 MMTOE in 2027-28, The Hindu reports. Output stood at about 38.87…
The Story in Brief
ONGC expects oil and gas production to reach about 39 million metric tonnes of oil equivalent this financial year and 40 MMTOE in 2027-28, The Hindu reports. Output stood at about 38.87 MMTOE last year. Director (finance) Anupam Agarwal said gas would drive this year’s increase, with another rise of nearly 1 MMTOE expected next year.
ETEnergyWorld reports that consolidated net profit rose 21.37% year-on-year to Rs 11,898.93 crore in Q1 FY27, while revenue increased 25.68% to Rs 20,498.74 crore. Standalone profit more than doubled to Rs 17,033.81 crore. JM Financial expects production growth from ONGC’s over Rs 40,000 crore Western Offshore investment programme. HPCL’s Rs 12,265 crore loss reduced the group’s performance.
The Indian Opinion
The easy story is that higher profit guarantees higher production. It does not. Another lazy narrative blames every weak group result on crude prices, overlooking HPCL’s losses and the stronger standalone numbers. ONGC still faces oil-price risk, deepwater costs and uncertainty around its Venezuelan projects. The useful test is whether output reaches 39 MMTOE this year and 40 MMTOE in 2027-28 without returns being weakened by cost overruns.
Sources (2): thehindu.com, energy.economictimes.indiatimes.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
