New Delhi: Oil and Natural Gas Corporation Limited (ONGC), India’s leading oil and gas exploration and production PSU, has signed a Heads of Agreement with Mitsui O.S.K. Lines Ltd. (MOL), Japan, to form a strategic partnership for the development of critical ethane transportation infrastructure. This agreement has been signed by seniors officials from both the organisations at ONGC's corporate office in New Delhi on Thursday, said a regulatory filing.
As part of the proposed collaboration, ONGC and MOL will jointly build, own, and operate two Very Large Ethane Carriers (VLECs). These vessels will be tasked with transporting imported ethane to ONGC Petro Additions Limited (OPaL), a petrochemical subsidiary of ONGC, for use as feedstock in its production processes.
The agreement marks a significant step towards strengthening ONGC’s petrochemical supply chain and underscores its commitment to securing feedstock logistics for its downstream operations. The partnership, however, remains subject to final approval by the respective Boards of the companies.
"This isn’t just a collaboration. It’s ONGC charting the course for the next era of #energy," ONGC wrote in a social media post on X.
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