ONGC shares jump 8% after announcing resource-sharing agreement with RIL; exchanges seek clarification
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Shares of Oil and Natural Gas Corporation (ONGC) rose to 8% in today’s session, to hit a fresh 52-week high of Rs 269.50, after announcing that it has signed an agreement with Reliance Industries to enable resource sharing for deepwater offshore E&P operations on India’s East Coast. This would cover areas across the Krishna Godavari (KG) basin and the Andaman offshore.
Meanwhile, the National Stock Exchange has clarification from ONGC with respect to this development. “The Exchange has sought clarification from Oil & Natural Gas Corporation Limited with respect to a recent news item captioned ONGC, Reliance Sign Resource-Sharing Pact to Strengthen India's Offshore Energy Push.. The response from the Company is awaited,” the notice read.
“This agreement is aligned with a forward-looking initiative facilitated by the Oilfields (Regulation and Development) Amendment Act, 2025 (ORDA Act 2025), introduced by the Ministry of Petroleum and Natural Gas (MoPNG), which creates a clear enabling framework for E&P operators to share infrastructure and facilities, both on land and offshore, for more efficient development of oilfields and production of hydrocarbons,” ONGC’s statement regarding the announcement read.
January 2026
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Under MoPNG’s enabling initiative, ONGC and Reliance will pursue sharing of resources required for offshore operations, which may include (but are not limited to) onshore and offshore processing facilities, drilling rigs, marine vessels (MSV, Tugs, PSV), power, pipelines, logging and well services, etc.
As per the company, the benefits of the agreement include cost optimisation through shared use of high-value rigs, vessels, logistics and specialised subsea equipment, and improved resource utilisation by reducing duplication and idle capacity across operators. It would also enable faster mobilisation and execution by improving access to the limited deepwater services available and offering stronger operational resilience and safety readiness through shared emergency response and training capabilities.
ONGC also had entered into Ship Building Contracts (SBCs) with M/s Samsung Heavy Industries, South Korea, for the construction of two state-of-the-art Very Large Ethane Carriers (VLECs) on 27 January 2026, with its joint venture companies with M/s Mitsui O.S.K. Lines Limited (MOL), Japan.
Reliance Industries Limited too saw a marginal jump of 1% jump after the announcement, with its shares trading at Rs 1,390.40.
Oil India shares hit a 52-week high
Meanwhile, shares of Oil India too jumped 10% to hit a fresh high of Rs 492 as there was a sharp rise in oil prices as there are supply concerns after a severe winter storm disrupted US crude output and exports. Brent crude futures gained 33 cents to $67.90 a barrel, and WTI Crude futures rose by 42 cents to trade at $62.81 per barrel.
The Nifty Oil & Gas index was up more than 3% at 11,735.55. It is trading lower than its 52-week high of 13,607.20. All 15 constituents of the sectoral index were trading in the green in today’s session.