Building on enhanced production from Mumbai High fields from a similar agreement, state-owned explorer Oil and Natural Gas Company (ONGC) on Monday inked yet another technical services-provider (TSP) agreement with British major BP Plc’s subsidiary, BP Exploration Services India, for Western Offshore fields.
“The TSP will review the field performance and identify improvement sin reservoir, facilities and wells to enhance production from Western Offshore fields (excluding the Mumbai High),” ONGC informed.
It added that the technical-services provider has indicated potential to increase about 10.8% production in crude and 31.5% increase in gas production for the ten-year contract period.
“In terms of oil plus oil-equivalent gas, the increase works to about 24.1% (from 128.93 MMTOE to 159.96 MMTOE). The increase is expected to be visible from fiscal year 2027 with full-scale visibility expected from fiscal year 2030,” the statement read.
BP Exploration Services India would be receiving a fixed fee for the initial two years. Thereafter, they would be receiving a service fee premised on the revenue from the incremental production scaled after recovering for incremental costs.
In January last year, ONGC had inked a TSP contract with another of BP Exploration Alpha Ltd, another of BP’s subsidiaries, for Mumbai High – which is the largest oil field of the Mumbai Offshore basin.
According to ONGC, preliminary production from the initial months of the contract implementation indicated “moderation of the earlier decline trajectory and stabilisation of production.”
Published – May 25, 2026 08:58 pm IST
