By Newscript News Network
August 25, 2025
Oil and Natural Gas Corporation’s Q1 FY26 results showed resilience: net profit of ₹11,554 crore, up 18.2% year-on-year, even as revenues softened. The improvement reflected stronger subsidiary contributions and a better product mix.
That bottom-line strength coincided with a credit upgrade. S&P Global Ratings lifted ONGC to BBB from BBB-, mirroring India’s sovereign rise. “The upgrade lowers funding costs at a time of elevated investment,” said a Delhi-based energy analyst.
Strategically, ONGC is diversifying its acreage portfolio. It took the largest share in OALP-IX and signed joint operating agreements with Oil India Ltd on three blocks, formalised in August. These partnerships allow ONGC to spread financial and technical risk.
More striking is ONGC’s unusual three-way partnership with Reliance and BP in the Saurashtra basin. ONGC will operate, Reliance brings scale, and BP global sub-salt expertise. Officials at the Directorate General of Hydrocarbons described the tie-up as “a model of blended capabilities.”
The company’s 32nd AGM is scheduled for August 29, closing a quarter that combined stronger earnings, credit relief and new acreage.