The share price of the largest government-owned oil and gas explorer and producer in India is up despite the generally bearish sentiment in the stock market.
On Monday, the share price of Oil and Natural Gas Corporation Limited (ONGC) closed at ₹284.90 before the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) halted trading on account of Mahavir Jayanti on Tuesday.
The stock’s price is up 6.50% over the past five trading days and 0.96% over the past month.
Daman Project Commences Gas Production
The stock rallied as the state-owned company disclosed that it has commenced gas production from its Daman Upside Development Project in the Arabian Sea. This comes amid global disruptions caused by the geopolitical conflict in the Middle East.
“It is hereby informed that, the Daman Upside Development Project (DUDP), in the western offshore, located about 180 Kms north west of Mumbai and about 80 Kms south of Pipavav, Gujarat, with Capex of about USD 1 billion has achieved a significant milestone on 29.03.2026 by monetisation through flowing gas from Platform B-12-24P,” ONGC stated in a regulatory filing dated March 29.
The company said that the B-12-24P platform has now delivered gas to ONGC’s Hazira processing plant less than two years from the time of contract award.
Bolstering India’s Domestic Energy Supply
The development is anticipated to bolster the nation’s domestic energy supply as the International Energy Agency forecasts that India’s gas demand will increase by 60% to reach 103 billion cubic meters per year by 2030.
“This has been achieved through strong project execution, innovative use of the Drill-Deck and strong performance by drilling and Production teams. This milestone marks the commencement of gas monetisation from the DUDP Project. Production from all wells will be ramped up in a phased manner,” ONGC said.
Source: https://coinpaper.com/15864/ongc-share-price-rises-as-daman-project-starts-gas-output
