Good afternoon, ladies and gentlemen. I am Anupam Agarwal, Director (Finance), ONGC.

I welcome you all to ONGC's earnings conference call for the first quarter of FY '26-'27. Thank you all for joining us today.

I am joined here by my colleagues from ONGC: Mr. Ajay Kumar Singh, President (Planning and Transformation); Mr.

Satish Kumar Dwivedi, Chief JV & BD; Mr. Yogesh Nayak, Chief Corporate Finance; Dr.

Ravinder Singh Negi, Chief Treasury and Investor Relations; Mr. Sanjay Kumar Sharma and Mr.

Prakash Joshi from Investor Relations Cell; Mr. Akhilesh Tiwari, Head Corporate Accounts; and Mr.

Manish Kumar from exploration team. Mr.

Mukul Bhatnagar and Mr. B.K.

Agarwal have joined from ONGC Videsh Limited. ONGC's financial results for the quarter ended 30th June 2026 were approved by the board on 4th August 2026 and have already been disseminated to the stock exchanges along with our press release.

This has also been sent to the analysts who are there on our mailing list. The first quarter has been a strong one for ONGC.

We reported a standalone gross revenue of ₹46,460 crore, an increase of over 45% over the corresponding quarter of the last year. Standalone profit after tax stood at ₹17,034 crore, registering a robust growth of over 112% year-on-year.

This quarter also witnessed the highest-ever standalone quarterly profit before tax of ₹22,848 crore. Our average crude price realization has been $99.45 per barrel.

Despite inflationary pressures and adverse exchange rate movements, ONGC maintained operating expenditure broadly at the same level as the corresponding quarter of the previous year. This reflects the impact of sustained operational efficiency initiatives and a continued focus on optimizing controllable operating costs across the organization.

On a consolidated basis, the ONGC Group reported a profit after tax of ₹6,554 crore during the first quarter of FY '27, where the group's consolidated performance was impacted by HPCL's net loss of ₹12,255 crore, primarily due to under-recoveries on petroleum products following the sharp increase in crude oil prices during the West Asia crisis. This was substantially cushioned by the robust performance of our other subsidiaries, particularly ONGC Videsh and MRPL, underscoring the resilience and diversification of ONGC Group.

The quarter reflects continued progress across three important transformations that are shaping ONGC's future: transforming our gas portfolio, transforming our mature offshore assets, and transforming India's deepwater exploration landscape. The first transformation is unfolding through the growing contribution of new well gas.

During the quarter, revenue from new well gas reached nearly ₹4,000 crore, generating an incremental realization of about ₹1,900 crore over the administered pricing mechanism. New well gas now contributes approximately 38% of revenue from our nomination gas portfolio, demonstrating the steady migration towards a more remunerating gas basket.

The contribution of gas to ONGC standalone revenue has also increased from around 25% in FY '25 to 28% in FY '26, and as the share of new well gas continues to expand. On the production front, overall oil and gas production during the quarter remained broadly stable.

The year-on-year variation was primarily attributable to temporary operational factors including reservoir complexities in KG deepwater 98/2, pre-commissioning activities associated with major offshore projects, pipeline replacement activities in western offshore, and lower gas offtake from certain isolated fields due to customer-side disruptions. Most of these are execution-related challenges rather than structural concerns regarding our asset base.

With the progressive commissioning of strategic projects such as the Daman upside development project, expansion of TSP program, and monetization of DSF, we expect the production trend to progressively improve in the coming quarters. Our second transformation is centered on renewed thrust in western offshore, under which ONGC is implementing one of the largest capital investment program in the history of its western offshore operations with projects exceeding ₹40,000 crore under various stages of execution.

These encompass pipeline replacement, reservoir and pressure management, enhanced water injection, production system upgrades, and several field development initiatives being undertaken in collaboration with our technical service partner, BP. Encouraged by the positive outcome under the first phase of the partnership in Mumbai High, we have now expanded this model across the entire western offshore portfolio.

During the quarter, Mumbai High TSP continued showing encouraging results, with oil production reaching around 107% of contractual baseline production and gas production around 113% of the contractual baseline. The third transformation relates to deepwater exploration, which we believe represents the next major frontier for India's upstream sector.

Recent approval by the government of Samudramanthan, the National Offshore Exploration Scheme with a total outlay of ₹84,084 crore, is a landmark initiative that reflects a decisive national commitment towards unlocking India's deepwater hydrocarbon potential and creating a favorable investment environment for offshore exploration. As India's flagship E&P company, ONGC will play a central role in this national mission.

During the quarter, we achieved an important milestone by commencing drilling of our first deepwater exploratory well in the Mahanadi offshore basin under the Samudramanthan program. We continue to make steady progress in strengthening our green energy portfolio.

Through OGL, our renewable energy portfolio has now reached 2.853 GW, supported by both organic expansion and strategic acquisitions. ONGC awarded a 300 MW ISTS connected solar power project for captive consumption last year, and corresponding 250 MW wind power project has been awarded in June '26.

To conclude, our immediate focus is on the successful execution of major production projects, timely monetization of near developments, and accelerated offshore exploration. With that, I conclude my opening remarks.

Thank you.

Thanks for taking my question, sir. On oil production side, if you look at the oil production on sequential basis, nominated field oil production has increased 1% Q-on-Q, while the ONGC-operated block NELP is indicating a sharp decline of 8%.

Just wanted to understand the nominated field oil production growth is backed by the TSP program at western offshore or is there any reason? That's one.

Secondly, wanted to understand on KG-98/2 production, what is the current rate of production there and how it has declined over the last three months? That would be helpful.

Yes, Yogesh. You are correct.

Actually, we have been able to maintain the production vis-a-vis last year Q4 production versus the first quarter production. It is almost flat.

There has been some decline vis-a-vis Q1 of the last year, mainly as I brought out various factors. Regarding the increase you are talking about the nomination field, yes, TSP is one of the major factor.

Mumbai High is there and there we have already reached about 107% of our baseline production. Regarding this 98/2, there has been some challenges we have been seeing, and the production of oil is currently around 21,000 barrels per day and gas is around Ajay?

1.5.

1.5

MMSCMD.

Sir. Just wanted to continue on the same question.

As you have arrested on the nominated field side natural production decline, how one should look into the FY '27 and '28 nominated field oil production guidance, if you could give us? It would be helpful for us.

I like to give the total standalone production of ONGC for the next year. I see last year our oil plus gas standalone production excluding JV was in the range of 48.

38.87 MMTOE. This year, we expect to reach about 39 MMTOE oil plus gas.

The upside will come mainly from gas because many of the projects like DODP, which is already progressing and by December we'll be reaching it 2 MMSCMD gas. This CPP commissioning in the east coast, 1.3 MMSCMD will come.

Tapti and Daman wells, another 0.5 MMSCMD will come. There will be further upside coming from TSP-1 and 2, both are in place now.

Some initial gains will see on that side also.

Yogesh, just to add what sir was saying, this 2 MMS 2 MMSCMD would be over and above one which we are currently producing from DODP. That means as per early production, it will be 3 MMSCMD.

We see about 1 BCM gas per year from the new developments which I am talking about. That is for the current year.

Next year, another overall almost 1 MMT OE of oil and gas gain will be there for '27-'28.

Sir. Lastly, just to break it down in simpler fashion, can you give us a guidance for oil production for FY '27 and '28 and gas production for FY '27 and '28, if you have a handy numbers?

See

I had told about 39 MMT for the current year and 40 MMT for the next year, oil and gas taken together. Break up will be about--

I think it would be 50-50 in

next year. Oil and gas both.

Oh,

okay, sir. That's really helpful.

Thanks. I'll come back in a queue.

Yes, yes.

Hi, sir. Good evening.

Thanks for the opportunity. Congratulations on very good set of numbers in this quarter.

Sir, my question actually was related to one of the items which was mentioned in the notes to your accounts and this is related to the Panna-Mukta-Tapti arbitration which is going on. Apparently, the liability which is sitting in your contingent liability is a significant one, about 15 to ₹16,000 crores, which is almost could be considered to be a quarter of your operating profit as well.

My question with respect to that is that was the communication which was sent by ministry, was that taken as a binding directive or this decision was also evaluated on basis of independent legal advice that ONGC is not going to participate in this arbitration? Given that you've not participated as a claimant, have you in a way tacitly accepted the demand which is made by the government?

That backdrop, what I'm trying to get at is that how have you ensured that your own economic interests are protected, and also that of your minority shareholders' economic interests are protected given that you are not participating in this arbitration?

Good, this is a good question. ONGC is a arm of Government of India.

We go by the government directive, but at the same time, we try to ensure our economic interests are protected. In this case, when we discuss with the government, there is no formal directive, it is a kind of understanding that we should not be going for this arbitration against the government.

Two arms of government fighting with each other, it is not good. What was decided in that discussion was that let the other party continue to be in this case and whatsoever decision will be there, that will be applicable for ONGC.

Our interest is also protected and we are not in dispute with the government in the court. That is the way.

I don't see there is any loss to the interest of any shareholder. Whatsoever decision will be there, that will be applicable to us.

Sir,

this is an outcome of your discussion with government or was this an outcome of your basically discussion with the court? Because court tomorrow might decide something as that only arbitrating parties will get the benefit and the party which has not arbitrated has accepted the demand and therefore is not liable to get any benefits out of this arbitration.

That's the route court could have also take, right? Given this is your own internal understanding, is that right read over here?

No. I would just like to say it is a joint venture case where both parties are the partners.

It is not one party case versus other party. It is the joint venture versus the government.

One party of the joint venture has gone in the court. Whatsoever decision will be there, that will be applicable across.

That is the understanding and that is the understanding of government also.

Okay. Basically the outcome would be applicable to the JV consortium and not only to the parties arbitrating.

Yes, that is the normal principles of JV operations.

Got it, sir. Okay.

Okay. Thank you, sir.

Sir, I had a question around what you talked about around the upside risk on exploration because of the government incentives that are being given around this Samudramanthan program. Can you kind of talk us through in terms of the role ONGC will play in this, because in the past 5 to 7 years, you've not really seen too much of high-risk, ultra-deepwater exploration drilling coming through on ONGC?

A connected question around that is the challenges that you've started to face on KG, what are they and how are you kind of thinking about it in terms of resolving it as well?

Mayank, it is a very good question, and obviously it is anticipated also somebody talking about Samudramanthan. Being national oil company, we will be playing the major role in this project.

Your question is last 4-5 years we have not done some major deepwater exploration activities. It is not correct.

We have been continuously carrying out exploration. About 100 wells we do, and last year also we drilled about four deepwater exploratory wells.

This year also one stratigraphic well we have already drilled. Another well we have spud.

This is basically recognition by the government as well as by ONGC, post-Hormuz, the need of energy security for the country. Government is very conscious that energy security is very, very important and for that whatsoever is required to be done, that will be done.

You would have also seen many of the initiatives which government has taken in the recent years like fiscal stability they have given, the kind of new benefits they have given in the Oil and Gas Act, and new gas pricing. All that incentives have made a lot of difference in the process.

Further, with the kind of prices we are seeing, before Hormuz, the general consensus was coming that oil prices will settle down around $65. Now with this Hormuz crisis, there is a security layer which is coming on the baseline and we believe it will be $75-plus in the long run.

That is our expectation. With that, many of the fields which we thought might not be viable are working out in the range where they are viable and we will like to develop them for the energy security for the country.

Same is the case for deepwater, because at $65 or $60, you see many of the deepwater is a high-risk, high-reward game. The size of reservoir, the economics has to be good to develop that.

Maybe some of the fields might not have been good at $60-$65 to explore, but at $75-plus kind of things, that will be continue to be very, very lucrative also and important for energy security. We are committed for this deepwater mission of the Government of India and this is first time in the history of oil and gas that government has allocated ₹84,000 crore fund from its own kitty for this new oil exploration, new oil and gas exploration.

As national oil company, we remain committed, we will do, and because a major part of this is being funded by the Government of India, it does not have any major financial impact for the company, but at the same time, it gives a upside in terms of new reserves we find and new oil and gas development activities we undertake. I hope I could clarify you.

Sir. I think just a follow-up around this was so how does this incentives of close to around $9 billion that the government has given help you lower your break-even cost to kind of develop any project on the ultra-deepwater or deepwater side?

If you can also give us a bit of a sense of which are the more prospective basins apart from Andaman, obviously, which is I think you have been drilling, I think you can see in the country where you see prospects for ultra-deepwater and deepwater come through? Again

you see this deepwater mission, the government has announced, is the first phase of that, which is applicable up to 2031, and that is mainly the exploratory phase. The next phase will trigger beyond '31 once this phase results will be known.

Each deepwater well costs about ₹1,000 crore. We do not know how much Government of India will fund on that and how it will fund.

Those details are still being worked out and will be shared in due course. Whatsoever the support will be coming, it will be reducing our cost of exploration and obviously with that the economics of the project will be better.

If exploratory cost is lower, the economics will be better and we'll see how it will help us in economics at the feasibility stage when the substantial amount of oil and gas reserves are found.

Regarding the area, basins, Andaman you already told. Mahanadi is one where we have already spud a well and this is the same basin where we had made earlier discoveries, Konark and one more we had made.

That is one. Then we are also working in Cauvery.

Cauvery is also one area where we will bring something. We are also going to participate in OALP-X in a big way and lot of blocks are on offer in deepwater and we will decide which areas in those basins we will drill.

Will it be in partnership with global majors or you want to kind of do it standalone?

You see, deepwater is a high-risk, high-reward. Our internal preference is wherever international partners want to come and join with us, they are welcome.

We keep on inviting them, discussions with them, and we believe with this the kind of incentives which Government of India has given and their major concern was fiscal stability, so that is already assured by the Government of India. Some of the global majors will come.

In past also, in one of the block, we had bid with BP and Reliance together. In next round also, wherever we find the global partners are interested, we will take them along for this deepwater mission of the Government of India.

Thank you.

Thank you for the opportunity. I have two questions.

The first one is on the operational challenges that you're facing which has led to production issues. Thanks for the opening address.

If you could elaborate on the execution milestones that you have now to improve or let's say debottleneck these fields so that the operational issues are resolved let's say by 3Q? That'd be great.

Secondly, did I hear it correctly that the results of the first TSP are that you are 7% higher than the baseline production? On an absolute sense, if you could help us understand the results of the TSP-1 areas that you covered with BP, if you can give us a sense of what the production was before the partnership and what is it right now?

Maybe if you give the absolute numbers, it will be more helpful. Thank you very much.

I will take the second question first. Regarding the TSP, yes, TSP-1 was for Mumbai High field.

Mumbai High, when we talk about the gain is against the baseline. General oil and gas sector, the fields have a natural decline rate and that is about 5% to 6%.

Over that, we see the increase. So 7% is coming over the natural decline rate of 6% to 7%.

Overall absolute term, the increase will be about 1% to 2% for Mumbai High. Gas is about 12% to 13%.

There it is about 5% to 6%, and there you would have heard in last investor call by our CMD, he mentioned one thing that is ONGC is gradually moving from a oil-based to a gas-based. That is the story.

What had happened in the past, because the gas prices were not remunerative, many of the fields which were discovered, they were not remunerative, we were not able to develop. The prices we are having today, the new gas prices, many of those fields have become commercially feasible and we are developing them, and that is how we are seeing that ₹40,000 crore worth of the projects are already under execution in western offshore.

Many more projects we are undertaking, those are under discussion at the board level and you will get to know in days to come. Regarding operational challenges when you talk, 98/2, it is more than operational, it is basically some reservoir-related challenges we have seen, certain surprises are there.

We are getting it studied from the technical experts and based on that, we'll be taking further decision. As far as western offshore is concerned, that continues to be the flagship for ONGC Group and there many projects we have brought in.

Last quarter operational challenge was mainly pre-monsoon swell that impacted some of the offshore installation of platforms and also lot of activities was going on. During that process, you have to close certain wells because you cannot continue with the production from the brownfield development projects when we are doing the job on the same platform.

Those challenges are there, but we believe post-monsoon we'll be able to make up all that and by the end of the year, we will see that production of oil will be almost the level of the last year and gas will be higher by about 1 BCM.

Okay. That's very helpful.

Just two follow-ups. How many wells are currently operational in KG-DWN-98/2 for oil and for gas?

That's one follow-up. The second one is the rest of western offshore, the new TSP contract that you have signed, are you saying that because you have now transitioned to a new TSP contract, the wells that were closed will be reopened and the production recovery hinges on your work with BP in the western offshore region?

I will take the second question first and the first question I will hand over to our President (Planning). Regarding the closure of well during execution of the projects, that is a normal phenomenon.

It doesn't have to do anything with TSP or anything. It is a normal phenomenon when you go install new platform, you connect those platforms, some of the activity has to be temporarily stopped.

That is a natural phenomenon. It will clear on its own.

Yes, TSP is helping us in finding out how to develop some of the projects. They are trying to help us to decide the extraction strategies, what kind of platforms we should produce, how to optimize the surface facilities.

All those benefits we are taking. I will now hand over to Mr.

Ajay Kumar Singh to give answer to your first question.

Good afternoon. I am Ajay Singh, President (Planning and Transformation).

This question related to 98/2 oil, how many oil wells we are open. We have opened all the 13 wells and it is being produced.

Gas wells, out of seven wells, four already is done and three is yet to be opened. Once the CPP is commissioned, which is in progress, and we are planning to connect with the subsea wells and control system is going to be commissioned shortly, we will start production from gas wells also.

That is likely to start somewhere in the month of October, November. Hope I answered your question.

Sure. Lastly, if you could help us with your peak production guidance for KG-DWN-98/2, if possible to share on the gas side?

Oil, I understand you have challenges.

Gas presently we are producing near about 1.5 to 1 1.7 million m3 per day, and with opening of balance three wells, we expect additional 1.5 MMSCMD. All put together it will be 3 million-plus gas will be produced.

Right. By when do you reach this peak, 3 million?

By Q4.

Okay. Thank you very much, and all the very best.

Okay.

Good afternoon and congratulations on good numbers. I have two questions, but relating to OVL.

The first question is I just wanted a round-up on the status of various assets of OVL including Mozambique, the status of Sakhalin, Venezuela, and Brazil. A round-up on that, then I'll come to the next question.

Sabri, I think OVL was passing through a rough patch for last 4 years post-Ukraine crisis. The Sakhalin asset, which was the most important asset of OVL Group, was not with us for about 4 years because the government of Russia had taken over the asset and converted into a incorporated entity.

Earlier, it was a unincorporated entity. Last year, sometime in November, December, we were able to take it back after meeting certain condition precedents.

I hope you are aware, I will not go into details for that. That is one thing, and with Sakhalin back in our portfolio, the OVL is back in the robust profit scenario.

Last quarter again about ₹1,000 crore they made, this quarter again ₹1,000 crore. You see the OVL, which was giving annually about ₹500 to ₹600 crore per annum, now it is ₹1,000 crore for a quarter, which is coming from Sakhalin mainly, and some fillip coming from the higher prices.

Mozambique again is a positive. It was in force majeure.

Last year about August or September, this force majeure was lifted. The activities are going on in full swing and now we expect sometime in end of '28 or beginning of '29 the production will start from the Mozambique project.

This is again a very important project from the national security perspective also and gas we will have a share of about 3 MMT from that project and that is just a initial phase. There are additional phases which will be coming under this Mozambique project.

Brazil BM-C-4 four BM-C-4 project is there where we are partner with Petrobras and that project is also going on well and the work for FPSO has already been awarded and we expect the first oil starting from 2030. Venezuela is another evolving story and you might be aware that we recently managed to get OFAC license.

Now we have full freedom to work on Venezuela project, because earlier we were restricting our operations there because of the sanction-related risk. Those risks are behind us.

The government of Venezuela has already enacted the new petroleum law. In that, they are giving some additional fiscal incentives for development of the resources.

ONGC team is already in touch with the Venezuelan authorities in association with our JV partners. We are there in two projects: San Cristobal and Petro Carabobo, and Venezuela is the place where largest oil and gas reserves are found.

It is the number one in terms of reserves, not the Saudi Arabia. It is a focus area for ONGC.

All these projects are shallow depth onshore projects where ONGC has full expertise, the kind of projects we produce from in Mehsana and Ahmedabad, that kind of regime places there. We are very upbeat for Venezuela and we believe very soon we'll be seeing some positive developments, the new agreements signed, and we taking over the operatorship for some of those projects from PDVSA.

Got it, sir. Thank you so much for the explanation.

Just a small follow-up. Your OVL PAT excluding impairment was ₹2,260 crore in Q4.

Now it has come down to ₹1,140 crore despite oil prices going up. I've seen the revenue has gone up, but I think equity profit share, that number has gone down.

Can you just give us some clarity on how the accounting is happening here and why we are not seeing the benefit of oil prices? When exactly was Sakhalin accounted back into the accounts?

That's all. Thanks.

OVL is not one single project, single field. It is a mix of multiple fields in multiple countries.

Each country has its own fiscal regime and each country has its own geopolitical situation. First you talked about Sakhalin, Sakhalin we could get back in December and we started accounting for in our profit and loss from January 2026.

That is the first. The second thing is this quarter there was some surprise you are talking about is mainly our realization from Russian assets were not as good as they should have been.

Because of the kind of geopolitical situation is happening, Russian assets the realization it was not at the same level because of the price cap related concerns. Otherwise, OVL has done well both in Sakhalin as well as in other assets.

OVL being in international market, most of the products we get international prices.

Got it, sir. Understood.

Thanks a lot, and all the best.

thanks for taking my questions. Yes.

Thanks for taking my questions. Am I audible?

Vikash.

Yeah. Just a couple of clarifications.

Firstly is peak production of the KG asset, what is it likely to be for gas, and by when are we going to reach that peak production?

I'll answer the query. With commissioning of CPP, and again we have some plan to reactivate and enhance the production from 98/2 gas wells.

We are expecting four gas wells and it will be in the 6 to 7 million. It will be somewhere not in Q4, because we have to re-enter into that deep gas wells we have to re-enter and we have to start production from there.

Somewhere you can say that Q4 of '27-'28, we will be reaching this figure.

We are right now at 1.5, you say that we will be about 3 3-plus in this October-December, and that 3 will then go to about 7 MMSCMD in another three, four quarters. Is that how one should think about it?

Okay. Okay.

The other thing that you also mentioned was in the October-December quarter, there could be another 2 MMSCMD incrementally coming from Daman upside, plus this 1.5, and there was another 0.5 that you mentioned from the Tapti project, right? There is going to be an incremental 4 MMSCMD, which on your base is roughly equal to 7-8% increase in production in the October to December quarter.

Is that roughly how I should be looking at?

That's correct. You are correct, but it is not October to December.

Some part of that will be spilling over to January to March.

The exit for December quarter is how we should think about, not the average for the quarter.

Yeah. Yeah.

One more thing on production before I ask on Samudramanthan. On the oil side, you did mention that facing some challenges in the oil part of KG.

Could you just give a little bit of basic geological point on what the challenges are and do you see these as addressable and you did say that you're still hopeful of going back to the earlier peak rate. How should I think of the timelines around that and what are you thinking of handling these challenges?

This is clarification for 98/2 oil wells. We are facing problem of complexity in reservoir, interconnection between one reservoir to other reservoir, and that study is in progress with world renowned geological study center and they are providing input also.

Based on their input, we will be reworking out and wherever required, we will be re-entering the wells. When we work out the strategy and plan how to do, because each well whenever we are going to enter, this cost more than ₹500 crores.

It is unlike shallow water where we can go and it is cheaper one. The deepwater has the costlier one.

We have to work out in totality cost related to re-entry in the wells vis-a-vis economics, how much oil we are expected to gain from them. Study is in way.

We'll be coming out shortly with the development strategy.

At this juncture, there are no pressure decline or water ingress challenges, it's just the contiguity that we are talking about. Right?

That's correct.

Then already you'll have to re-stratify accordingly. Final thing on Samudramanthan.

You mentioned that you've drilled one well this latest well will be under Samudramanthan. This is not an exploration well, right?

This is something which will be part of you getting more how will this feature and would you get some reimbursement from the government? How does it really work?

You see, this part is still under the works. We are also privy to the same information which you are, which we got from the press release from Government of India.

Details are still being worked out. Yes, once the government has decided they will fund that project, all the wells which will be approved, which will be the part of the Samudramanthan, a part of that will be reimbursed by the Government of India.

That is the way it is expected to be.

The expectation would be that you would possibly approach the government that this is where we would like to drill and they will approve a particular number linked to that well, anything incremental will have to come from your pocket, and the amount where the government has agreed on will come from the government. Is that how one should think about it from the very basic, preliminary understanding that we have?

See, details are not yet available. What we see, it is not going to be some surprise incremental cost which will be funded by government or ONGC.

It will be worked out what will be the total cost, part of that will be borne by the company, part of that will be made by the government. It is basically to take a part of the risk of exploration from the oil explorer and that is the mission government is looking into to ensure energy security of the country.

Okay. If there is a discovery, that discovery belongs to ONGC, or will you have to get in another partner or anything like that?

The reserves, the development production will come for ONGC?

Discovery will definitely belong to the owner of that block who has been awarded that license. The blocks where we are going alone will be the owner of that discovery.

In the blocks we are going with our partners, it will be the joint venture who will be the owner of that discovery. Okay.

Okay. Any guidance on new well gas, how that has increased to what numbers?

Or you said that in the initial comments what percentage of gas is new well gas and where do you think this is going to be, say, 12 months out?

You see, as far as in volume terms, this quarter it has already reached 19% and we expect it will continue to grow up as we develop more and more gas reserves, more and more new wells we drill, it will continue to grow up. In revenue term, this quarter it was 38% because we got good price this quarter.

In sales quantity term, it is around 24% from last year 17%.

Okay. Thank you, Anupamji.

Thank you, Prakashji. Thank you.

Thanks for the opportunity. Sir, wanted to know about the OPaL, if you can provide the numbers for the EBITDA and operating rate?

Okay. Thank you, Varatharajanji.

OPaL last quarter it could not do as good as we expected because of kind of transformative steps we have taken in OPaL including equity capital, setting up support in terms of corporate guarantee from parent company ONGC, reduce their financial burden. Other steps we had taken regarding this exit from SEZ.

All these things had made a major impact on OPaL workings and this Q4 of FY '25-'26 was very good, you would have seen. This quarter, ultimately the feedstock is linked with the international prices of gas and naphtha.

With Hormuz crisis happening, our calculations had gone wrong and because of that, the first quarter of FY '27, EBITDA we were 57 negative, whereas FY '26 EBITDA was ₹1,207 crore and positive. That is how OPaL is.

We believe going forward, OPaL will be doing much better because of two, three factors, which you are also aware. We have decided to exit from C2-C3 also from the SEZ and that will bring about ₹1,000 crore in EBITDA term for OPaL.

The other thing what is going to happen, we have already entered into MOU with Mitsui and we are building up ethane carriers. We'll be bringing ethane from international market and with that our feedstock cost will come down.

Present challenge is basically relating to the feedstock. As soon as the feedstock related challenges are over, OPaL will be in much better financial health.

Okay. Thanks, sir.

The second question from

the-- With me Mr. Dwivedi is there.

He is Head of BD, if you want to Dwivedi?

It's okay. Just because of Hormuz crisis, the plant runs on two feed: gaseous feed and naphtha.

Naphtha prices went up from $600 $600-$700 to $1,000, and gaseous feed has stopped. As and when gaseous feed starts, the plant will normalize.

These are abnormal times. These are abnormal times and different part of industry are impacted differently.

You would have seen how the marketing companies have been impacted, how the petchem companies have been impacted, how the upstream companies have been impacted.

Sir. In the context of Samudramanthan, do you see a change in your CapEx program, do you expect the overall CapEx budget go up, down in the next two years?

You see, we have been traditionally spending about $3.5 to $4 billion on CapEx and that number remains. That is the same situation.

We will see some upside in exploration CapEx with Samudramanthan coming in.

Fine, sir.

Hi. Good evening, and thanks for the opportunity.

Sir, firstly on the survey expenses, usually pre-monsoon quarter the survey expenses are pretty high, but this time I see that not much expenditure has been done on that front. I just wanted to understand the reasons for that.

Yes, Amit. Survey we had faced some challenges in contract finalization because the kind of rates we got in our tenders, they were not workable.

We had to take a step back and go for retender. Now the major survey contracts have already been awarded and October onward, post-monsoon, you will be seeing a big activity coming in survey part.

Fair to say that it will catch up for the let's say the lower activity in Q1 in second half then?

It will catch up. It will make more than catch up.

More than catch up because we have lined up a big exploration program and for that lot of survey activities will be happening both to support Samudramanthan and otherwise also. Right,

right. That expenditure line item then will go up basically in the second half?

Yes, it will.

Right. Just secondly on the crude realization, I see that this quarter was about $3 broadly on an average above Brent.

Could you explain that why did you get this premium versus usually you get a maybe a flat to a marginal discount to Brent?

This quarter our realization we reported about $99 per barrel and Brent average is also around $97-$98.

Yeah, $96.

We are in the same range.

I know it's broadly the same range, but usually at least the data that I see back 2-3 years on a quarterly basis, usually it's 0 to -$1 versus Brent. This time it's about close to $2.5-$3 actually above Brent.

There's a lot of volatility in the quarter. Is it purely that, or there was some formula-driven increase which could continue maybe?

No, there is no formula-driven increase. This is a volatility which has happened in this quarter.

Otherwise, in general, if you see the kind of arrangement we have with our oil marketing companies is that Brent is the base and Brent plus 1%, but when we account for the VAT is about 5%, 4% comes to our kitty. That is how the net realization we report in our books.

Got it. Purely the volatility.

Fine, fine. Just wanted to understand those two things.

Thank you very much.

Thanks for the opportunity, sir. Two questions.

Can you give guidance on what is the planned CapEx for the Mahanadi well? When the result is expected from this well?

That's number one. Can you also share your guidance for FY '27 and '28?

What is the second question?

What is the full year CapEx for FY '27 and '28?

Full year CapEx. Full year CapEx

for '27-'28.

Full year CapEx I already told, it will be $3.5 to $4 billion range. It depends on how our project progress is there, but that is the range we will maintain for the full year.

Regarding Mahanadi well, it takes about three months to drill a deepwater exploration well. We spudded around 25th of July, you can expect the results sometime in September end.

Each deepwater well will be in the range of ₹800 to ₹1,000 crore. About $100 million for that.

Sir. That's helpful.

Thank you.

Thanks for another opportunity again, sir. Sales to production ratio has sharply declined in case of a gas from nominated as well as gas from the JV fields.

Any particular reason? Earlier, it remained in the range of 79, it has declined to in the range of 75-76 in this quarter.

I think

yes, Yogesh, you are aware that we talked about in some isolated areas the customers could not take that gas because of pricing challenges or some operational challenges. Because of that, our sale could not keep pace with the production, so that is the major reason.

Okay. The second question, sir, LPG production segment and the tariff segment.

If we back-calculate the LPG price realization based upon the data provided by the company, the realization comes around $896 per ton, which is much, much higher than the Saudi LPG benchmark price. This premium is much higher, $120-$130 per ton higher than the Saudi LPG benchmark price.

Any reason, sir, a higher realization on the LPG side?

You see, these were volatile times. Because of post-Hormuz, the market behavior was not normal.

It is basically because of those volatilities we could get a higher realization during that period.

Our LPG price realization is marked to Saudi CP or something else, sir? Just wanted to on understanding side.

That detail I'm not having immediately with me.

Yogeshji, I will share the

Our IR team will get in touch with you and give you any clarification further if you require on that.

Fair, sir. Thanks a lot, and all the best.

Thank you.

Thank you, ma'am. Good afternoon.

We hope we have answered all the queries raised by the participants. In case if any further queries are there, they can reach out to our Investor Relations cell.

I thank Director (Finance) sir, ONGC for addressing the participants and answering all the queries to participants. I also thank all my senior colleagues for participating and also all the participants for participating in this conversation.

Thank you very much.

Thank you.