ONGC acquires 50% stake in 2 ethane shipping JVs with Japan’s Mitsui O.S.K. Lines

New Delhi: Oil and Natural Gas Corporation Limited (ONGC) has acquired a 50 percent equity stake in two joint venture companies namely:- Bharat Ethane One IFSC Private Limited and Bharat Ethane Two IFSC Private Limited, formed in partnership with Japan-based Mitsui O.S.K. Lines Ltd (MOL).

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The equity acquisition was carried out through private placement, with ONGC being allotted 2,00,000 equity shares of face value Rs 100 each in both joint venture entities. The total investment involved in the transaction stands at Rs 4 crore. Following the allotment, ONGC has become a 50:50 joint venture partner with MOL in both companies.

The two joint venture companies, incorporated in September 2025 and registered at GIFT City, Gandhinagar, have not commenced business operations yet. Each JV will own one Very Large Ethane Carrier (VLEC), which will be deployed for the transportation of ethane from the United States of America to meet the feedstock requirements of ONGC Petro additions Limited (OPaL), a subsidiary of ONGC.

The VLECs will operate under the Indian flag, strengthening India’s shipping capabilities while supporting the country’s petrochemical supply chain. The acquisition does not fall under related party transactions, and the consideration has been made entirely in cash.

ONGC has obtained the necessary approval from the Department of Investment and Public Asset Management (DIPAM) for the formation of the joint ventures. The acquisition process is expected to be completed in January 2026.

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