India’s national oil company, ONGC, has signed a new technical services contract with energy giant bp to enhance output across its Western Offshore Basin.
Under the arrangement, ONGC will retain complete ownership and operational control of all assets. However, bp will embed its global technical experts into ONGC’s multidisciplinary teams to design targeted interventions across reservoirs, wells, and surface production facilities.
The deal marks a massive expansion of the engineering partnership between the two energy majors. It extends their existing collaboration from the mature Mumbai High field to the wider Western Offshore Basin, which comprises 43 critical blocks and stands as India’s most prolific hydrocarbon-producing region.
The partnership is specifically aimed at managing natural production decline, improving overall hydrocarbon recovery, and driving sustained operational growth.
ONGC plays an indispensable role in India’s energy market, accounting for roughly 64 per cent of the country’s total domestic crude oil and natural gas production.
The contract specifies that bp will receive a fixed fee for the initial two years of work. Following this period, bp’s remuneration will transition into a performance-linked service fee tied directly to a percentage share of the revenue generated from net incremental hydrocarbon production.
The deal directly builds on a highly successful technical framework established for Mumbai High in February 2025. During the first 12 months of that partnership, enhanced surveillance and well optimisation successfully moderated output decline and generated fresh production growth.
“Building on the encouraging outcomes at Mumbai High, this expanded collaboration will support improved recovery, greater efficiency and sustained production growth,” ONGC Chairman and CEO Arun Kumar Singh said.
bp India Chairman Kartikeya Dube echoed the sentiment, stating that bp looks forward to deploying its advanced operating practices to help strengthen India’s long-term energy security.
ONGC is India’s largest exploration and production company. It has discovered seven of India’s eight producing basins, holds the country’s largest exploration acreage.
