Business Development & Joint Ventures Group of ONGC (BD&JV) is organization’s link to driving value integration in hydrocarbon molecule beyond the E&P domain and to identifying and developing futuristic energy portfolio for the company to ensure sustainability of the organization. The Group is headed by Director (HR) as the Director-Incharge of Business Development and Joint Ventures.
BD&JV is involved in continuous scanning to identify synergistic business opportunities, evaluate viability and implement these opportunities for ONGC to expand its wings in the entire value chain of hydrocarbons and other domains of energy.
BD&JV, in line with ONGC's pursuit for business growth plans has initiated several measures for achieving enhanced value chain integration in both vertically and horizontally integrated hydrocarbon businesses. In this respect, several projects have been initiated in the field of Petrochemicals, Power, Wind, Fertilizer, Special Economic Zone.
Keeping in mind the emerging competitive landscape and to harness key complementary strengths of the respective domain, appropriate collaborative structures for implementation of these projects has been created by BD&JV, with several projects conceived for implementation through Joint Venture route.
Following are the major existing projects being developed by BD&JV:
In the conventional domain of hydrocarbon molecule, BD&JV is exploring feasibility of sourcing LNG on competitive basis to meet long-term natural gas demand of India and thereby furthering energy security of the country. ONGC is also planning to invest in Regasification Terminal with total capacity of 5-10 mmtpa as envisaged in Perspective Plan - 2030.
Oil and gas are going to remain mainstay of the company for a long time to come, however, the fossil fuel, the source of which is finite would be facing increasingly difficult challenges to explore and exploit. Further, with the increasing focus of the world community on environment, clean energy is slated to play increasing role in energy basket of any country.
ONGC has imbibed this emerging reality in its stated mission of providing value linkage to other sectors of energy business. In order to create growth opportunities and maximize shareholder value, along with its continued thrust for exploration & production of hydrocarbon, ONGC intends to play an important role in development of nonconventional energy resource for the country. ONGC’s resource base is an enabler in creating such growth opportunities.
ONGC has already taken a concrete step in this direction by setting up a 51 MW wind farm in Gujarat. BD&JV is now taking the initiative further for significant addition of capacity in the portfolio. The Group is also actively examining and pursuing various prospects in the domains of offshore wind, solar, hydro and nuclear energy sources while engaging with some of the best players in the respective domains.
A gas based urea fertilizer plant in Tripura is in active consideration by ONGC for early monetization of new gas discovery in the acreage awarded to ONGC in NELP III round. The project is envisaged to be set up in Joint Venture mode with one of a leading fertilizer company of India and Government of Tripura based on techno-commercial viability.
Significance of BD&JV to the organization
BD&JV is not only expanding the canvas of the organization but is also creating entirely new planes in energy domain to drive the organization into its future. In a nutshell, BD&JV is working towards ensuring sustainability of the organization by being its umbilical cord to its tomorrow.
Considering the ongoing BD&JV driven projects and activities, and projection of future expansions and new business areas including alternate sources of energy and downstream gas business, the company envisages that its non E&P activities shall contribute to 30% of organization’s total revenue by the year 2030.