ONGC, BP Expand Partnership With Technical Services Deal for Western Offshore Basin

New Delhi: State-run oil and gas producer Oil and Natural Gas Corporation (ONGC) and BP have signed a technical services contract for ONGC’s Western Offshore Basin, extending their collaboration beyond Mumbai High as the companies seek to boost production from some of India’s largest mature hydrocarbon assets. The agreement was signed on Thursday, ONGC said in a statement.

Under the contract, BP will serve as the Technical Services Provider (TSP) for ONGC’s Western Offshore Basin, which comprises 43 blocks and is the company’s most prolific producing region. ONGC noted that the basin has been a major contributor to India’s energy needs for more than four decades.

The partnership will enable the wider deployment of advanced technologies, technical expertise and operational practices across the basin’s assets. While ONGC will retain full ownership and operational control of the fields, BP will work alongside ONGC teams on reservoir management, well optimisation and production facility improvements. The companies aim to slow natural production declines, increase hydrocarbon recovery and improve operational efficiency to support long-term output growth.

As per the agreement, BP will receive a fixed fee during the first two years, followed by a performance-linked service fee tied to a share of revenue generated from incremental hydrocarbon production.

The new deal builds on a technical services agreement signed for Mumbai High in February 2025. According to ONGC, the first year of collaboration helped moderate production decline and deliver output growth through well optimisation, enhanced surveillance, and targeted reservoir and facility-management measures.

Commenting on the development, Arun Kumar Singh said, “Building on the encouraging outcomes at Mumbai High, this expanded collaboration will support improved recovery, greater efficiency and sustained production growth.”

Meanwhile, Kartikeya Dube said the company looks forward to leveraging its global expertise to help enhance production from the Western Offshore Basin and strengthen India’s energy security.

ONGC accounts for about 64 per cent of India’s domestic crude oil and natural gas production, making it a key pillar of the country’s energy sector.

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