State-run ONGC Videsh (OVL) has completed the acquisition of 0.615 per cent Participating Interest (PI) in Offshore Azeri Chirag Gunashli (ACG) field in Azerbaijan from Equinor.

This also includes acquisition of 0.737 per cent shares of Baku Tbilisi Ceyhan (BTC) pipeline company through its wholly owned subsidiary ONGC BTC, the Navratna company said late on Friday night.

The acquisition has been completed on November 29, 2024. The total investment for this acquisition is around $60 million. This acquisition is in addition to OVL’s existing 2.31 per cent PI in the ACG field and 2.36 per cent shareholding in BTC pipeline, the company, part of E&P major ONGC said.

ACG is a super-giant offshore filed in Caspian Sea operated by oil major BP since 1999. The field has been developed in phases and a seventh production platform, Azeri Central East, has been commissioned in early 2024. The other partners in the field are SOCAR, MOL, INPEX, Exxon, Turkiye Petrolleri AO and Itochu.

The field has a contract term till 31st December 2049. Baku-Tbilisi Ceyhan (BTC) pipeline carries oil from the Azeri-Chirag-Deepwater Gunashli (ACG) field and condensate from Shah Deniz across Azerbaijan, Georgia and Türkiye. It links Sangachal terminal on the shores of the Caspian Sea to Ceyhan marine terminal on the Turkish Mediterranean coast.

This acquisition is consistent with its strategic objective of energy security of the nation by adding high-quality international assets with equity oil to its existing portfolio. 

OVL’s production of Oil and Oil Equivalent Gas (O+OEG) during FY’24 was 10.518 MMtoe and is currently producing about 200,000 barrels of O+OEG per day. As on 1st April 2024, ONGC Videsh has total Oil & Gas reserves (2P) of about 476 MMtoe while its parent, ONGC has 2P reserves of 704 Mmtoe.

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