ONGC deepens bp partnership with Western Offshore Basin technical services pact to boost oil output and recovery efficiency

State-owned Oil and Natural Gas Corporation (ONGC) has expanded its strategic collaboration with bp through a new Technical Services Contract aimed at enhancing production from its Western Offshore Basin assets. The agreement, signed on 25 June 2026 in the presence of Union Minister for Petroleum and Natural Gas Hardeep Singh Puri and MoPNG Secretary Neeraj Mittal, marks a significant deepening of ties between India’s largest state-run explorer and the global energy major.

The Western Offshore Basin, comprising 43 blocks, is ONGC’s most productive hydrocarbon region and has played a critical role in meeting India’s energy demand for over four decades. The latest pact extends bp’s technical services mandate beyond Mumbai High, where both companies had earlier signed a similar arrangement in February 2025.

Expanding collaboration across mature assets

Under the agreement, bp has been appointed Technical Services Provider (TSP) for the Western Offshore Basin. The collaboration will focus on deploying advanced technologies, global best practices, and reservoir optimisation techniques across ageing yet high-value fields.

The oil and gas exploration major will retain full ownership and operational control of the assets, while bp will work closely with ONGC’s technical teams to identify and execute interventions in reservoirs, wells and production facilities. The objective is to moderate natural production decline, enhance recovery rates, and improve operational efficiency across the basin.

The financial structure of the contract includes a fixed fee for the first two years, followed by a performance-linked component tied to incremental hydrocarbon production.

Building on Mumbai high results

The expanded engagement builds on the earlier Technical Services Contract for Mumbai High, where the partnership reportedly helped slow production decline and deliver output gains through well optimisation, reservoir surveillance, and facility management improvements.

ONGC Chairman and CEO Shri Arun Kumar Singh said, “Building on the encouraging outcomes at Mumbai High, this expanded collaboration will support improved recovery, greater efficiency and sustained production growth.”

bp India Chairman and bp Senior Vice President Shri Kartikeya Dube said, “We look forward to bringing bp’s global expertise to support enhanced production from the Western Offshore Basin and strengthen India’s energy security.”

Strategic push for energy security

The partnership comes at a time when India is seeking to optimise output from mature oilfields to reduce import dependence. ONGC currently accounts for about 64% of India’s domestic crude oil and natural gas production, underlining the strategic importance of the collaboration.

With bp’s international expertise in reservoir management and enhanced recovery techniques, the alliance is expected to strengthen production efficiency across one of India’s most critical offshore energy hubs.