Oil and Natural Gas Corporation Limited (ONGC) has appointed BP Exploration Services India Limited as Technical Services Provider (TSP) for enhancing hydrocarbon production from its Western Offshore oil and gas fields, excluding the Mumbai High field. The move forms part of ONGC’s broader strategy to strengthen domestic crude oil and gas output by improving recovery from mature offshore fields through advanced technology, global expertise and operational optimisation.
India’s Mumbai Offshore Basin remains ONGC’s most productive hydrocarbon basin, accounting for a major share of the company’s domestic production over the last four decades. The basin consists of 43 blocks, including fields operating under nomination as well as OALP, NELP and DSF regimes.
Earlier this year, ONGC had entered into a Technical Services Provider agreement with BP Exploration Alpha Ltd. for the Mumbai High field, which contributes nearly 38 percent of the western offshore production in oil and oil equivalent gas terms. According to ONGC, early results from the Mumbai High collaboration have shown moderation in production decline and improved operational stability through focused well, reservoir and facility management initiatives.
Encouraged by these developments, the company launched an international competitive bidding process to identify a technical partner for the remaining Western Offshore assets. Major global oil companies were invited to participate in the tender.Following the evaluation process, BP Exploration Services India Limited, a wholly owned step-down subsidiary of BP Plc UK, was selected for the assignment.
Under the agreement, the TSP will assess field performance and recommend measures for improving production efficiency across reservoirs, wells and offshore facilities. The engagement will focus on deploying global best practices, enhanced surveillance systems, production optimisation strategies and facility de-bottlenecking initiatives.
ONGC stated that the selected TSP has identified the potential for a significant increase in hydrocarbon output over the ten-year contract period. Crude oil production is projected to rise by around 10.8 percent from the baseline level of 46.25 million metric tonnes to 51.26 million metric tonnes. Natural gas production is expected to increase by nearly 31.5 percent, from 82.68 billion cubic metres to 108.69 billion cubic metres.
In oil and oil equivalent gas terms, the projected production enhancement is estimated at approximately 24.1 percent over the contract duration.The company said the impact of the programme is expected to become visible from FY27, with full-scale gains anticipated from FY30 onwards.
Under the commercial structure of the agreement, the TSP will receive a fixed fee during the first two years, followed by a revenue-linked service fee tied to incremental hydrocarbon production after recovery of additional operational costs. ONGC said the initiative aligns with its long-term objective of strengthening India’s energy security while maximising recovery from mature offshore assets through advanced technologies and international collaboration. ONGC is India’s leading exploration and production company. It plays a central role in the development of domestic oil and gas resources and undertakes strategic initiatives across the energy value chain to support national energy security.
