New Delhi, January 5, 2026: Oil and Natural Gas Corporation Limited (ONGC) has made a strategic entry into ethane shipping by forming two joint venture companies with Japan-based Mitsui O.S.K. Lines Ltd, marking a key step in business diversification and energy logistics integration.
ONGC has signed joint venture and capital contribution agreements to acquire equity stakes in Bharat Ethane One IFSC Private Limited and Bharat Ethane Two IFSC Private Limited, both registered at GIFT City, Gandhinagar.
Equity Structure and Investment Details
Under the arrangement, ONGC will subscribe to 2,00,000 equity shares of ₹100 each in both joint venture entities. Post allotment, the ownership structure will be evenly split between the partners.Joint Venture Equity Snapshot
| Particulars | Bharat Ethane One IFSC | Bharat Ethane Two IFSC |
|---|---|---|
| Equity shares subscribed by ONGC | 2,00,000 | 2,00,000 |
| Face value per share | ₹100 | ₹100 |
| ONGC equity stake | 50% | 50% |
| Partner equity stake | 50% | 50% |
Focus on Ethane Transportation
Each joint venture company will own and operate one Very Large Ethane Carrier (VLEC). The vessels will sail under the Indian flag and will be deployed for transporting ethane from the United States to meet the feedstock requirements of ONGC Petro additions Limited (OPaL), a subsidiary of ONGC.The initiative strengthens ONGC’s backward integration into energy logistics, ensuring long-term supply security for its petrochemical operations while building in-house capability in specialised shipping.
About the Company
Oil and Natural Gas Corporation Limited is a Maharatna public sector enterprise and one of India’s largest integrated energy companies, with operations spanning exploration, production, refining, petrochemicals, and energy infrastructure. The company is listed on Indian stock exchanges and plays a central role in India’s energy security strategy.Source:
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