Union Minister of Petroleum and Natural Gas, Hardeep Singh Puri, has emphasised that Oil and Natural Gas Corporation Limited (ONGC), a Maharatna Central Public Sector Enterprise (CPSE) and a key contributor to India’s economy, engages with experienced global entities to conduct highly specialised technical studies. These include permeable reservoir modelling, deep-water subsurface analysis, and advanced data interpretation for production enhancement.

The Minister noted that only a handful of organisations worldwide possess the expertise, proprietary software, advanced modelling techniques, and research infrastructure required for such complex studies. Among them is Beicip-Franlab, which operates under the control of Institut Français du Pétrole Energies Nouvelles (IFPEN), a leading research institute under France’s Ministry of Energy. IFPEN is internationally recognised for its deep- and ultra-deep-water studies and its patented reservoir modelling software.

Puri highlighted that ONGC has an ongoing Memorandum of Understanding (MoU) with IFPEN, last renewed in 2023, to collaborate on joint research, hydrocarbon exploration, development projects, and the adoption of new technologies, including renewable energy solutions.

He further clarified that ONGC’s exploration and production projects follow Board-approved guidelines, aligned with the General Financial Rules (GFR) and the Central Vigilance Commission (CVC) framework. Importantly, no consultancy contracts have been awarded to Beicip-Franlab in ONGC’s North Eastern Region. Across other regions, the total value of assignments given to the company in the past five years amounts to less than Rs 65 million, a negligible figure compared to ONGC’s scale of operations.

To put this in context, ONGC has reported an average Profit After Tax (PAT) of more than Rs 330 billion annually over the past five years, underscoring the minimal proportion of consultancy expenses relative to its overall business.