Till December 2020, ONGC had infused capital in the form of warrants ( ₹3,365 crore) and provided support for CCDs ( ₹7,778 crore), taking ONGC’s stake to 92% in OPaL with the company planning to further increase its equity stake in OPaL.
OPaL, which has a $4.5 billion petrochemicals project, began operations in 2016-17 and has been ramping up production in phases. OPaL’s complex houses India’s largest greenfield single-location, dual-feed cracker unit. The company primarily manufactures polymer, a chemical compound used in various products ranging from textiles to plastics.
OPaL’s petrochemicals complex is part of the forward integration plans of ONGC.
The majority feedstock for OPaL is currently being sourced from ONGC. The naphtha requirement is met by the processing plant of ONGC at Hazira and Uran.
“Given the increasing demand for petrochemicals, we see contribution from petrochemicals to increase (in ONGC’s topline). We may integrate OPaL into ONGC eventually. This is under process though," an ONGC official said.
Subscribe to Mint Newsletters
* Enter a valid email
* Thank you for subscribing to our newsletter.
Never miss a story! Stay connected and informed with Mint.
our App Now!!