NEW DELHI: State-run
ONGC
will make an additional
equity infusion
of Rs 18,365 crore in OPaL (ONGC Petro-additions) for raising its stake in the petrochemicals company as part of a capital restructuring plan for bringing about operational and financial sustainability.
A statement on Friday said the govt has cleared the plan, which will see ONGC’s stake in the OPaL, located at
Dahej
in Gujarat, rise from a tad over 49% to more than 95% and cumulative
investment
increase to Rs 22,728 crore, leading to a healthy debt:equity ratio.
ONGC has also been allowed to supply to OPaL domestic gas from additional output secured through re-development of legacy fields at a premium of up to 20% over prices set by govt. The increase in equity and assured gaseous feed will ensure steady performance for OpaL to fill a gap in ONGC’s bid to transform into an integrated company by increasing presence across the
downstream
and
petrochemical
value chain. OpaL’s petrochemical complex, which has the largest standalone dual-feed cracker in Southeast Asia, was commissioned in 2017. It has 12% market share in India’s polymer segment.
