ONGC targets $10-$12 bn foreign oil and gas investments

The foreign investment arm of India´s top oil explorer ONGC is targeting $10-$12 billion of oil and gas asset purchases over the next three years, including more corporate acquisitions, its managing director said.

ONGC Videsh Ltd (OVL) hopes to capitalise on cheaper assets after a slump in oil prices and PM Narendra Modi´s diplomatic efforts to boost the global presence of Indian firms.

“Earlier it was an asset-based (strategy) but now we are giving good consideration to M&A,” Narendra K Verma, Managing Director of OVL said. “Our mandate is huge and we can acquire a larger portfolio through the corporate acquisition route,” added Verma, who has overseen $7 billion in deals over four years. OVL wants to double output by 2018.