New Delhi, Nov 5 (PTI) State-owned Oil and Natural Gas Corporation (ONGC) on Thursday reported a 57.3 per cent year-on-year jump in standalone net profit in the September quarter, driven by higher crude oil and natural gas realisations despite a decline in production.
Standalone net profit of Rs 15,488.64 crore in July-September - the second quarter of current 2026-27 fiscal year - compared with Rs 9,847.97 crore earning in the same period a year back, according to a company statement.
The country's largest oil and gas producer also reported its highest-ever first-half standalone net profit of Rs 32,522 crore for April-September FY27, an increase of 82 per cent from Rs 17,872 crore in the corresponding period last year.
The H1 profit was almost equal to the Rs 32,894.02 crore profit the company earned in the full 2025-26 fiscal (April 2025 to March 2026).
Standalone gross revenue increased 33 per cent to Rs 43,875 crore in Q2 and 39 per cent to Rs 90,336 crore in first half (April-September).
The earnings growth was supported by a substantial improvement in crude oil realisations. ONGC's nominated crude oil price realisation increased 37.1 per cent year-on-year to USD 92.33 per barrel in Q2 FY27, compared with USD 67.34 per barrel in the corresponding quarter last year. Realisation from joint venture crude increased 41.9 per cent to USD 97.02 per barrel.
The company also benefited from higher prices for new-well gas. Realisation from new-well gas rose 22.5 per cent to USD 10.24 per million British thermal units (mmBtu) during the quarter, while the price for nomination gas increased 3.7 per cent to USD 7 per mmBtu.
For H1 FY27, revenue from new-well gas stood at Rs 7,050 crore, accounting for more than 34 per cent of total revenue from ONGC's nomination gas portfolio.
The strong financial performance came despite lower year-on-year oil and gas production. Standalone crude oil production declined to 4.437 million tonnes (MMT) in Q2 FY27 from 4.630 MMT a year earlier, while natural gas production fell to 4.839 billion cubic metres (BCM) from 4.918 BCM.
Combined standalone oil and oil-equivalent gas production stood at 9.515 MMT, compared with 9.802 MMT in Q2 FY26.
ONGC attributed the production moderation primarily to reservoir-related complexities at its KG-98/2 asset in the eastern offshore basin, monsoon-related operational challenges and delays in the PRP-8 and PRP-9 pipeline replacement projects.
Gas production from onshore fields was also affected by lower customer offtake following disruptions at certain major consumer facilities, the company said.
To arrest natural production declines from mature fields, ONGC has expanded the engagement of global energy major bp as its technical service provider across the Western Offshore.
The ONGC board approved an interim dividend of 160 per cent, translating into Rs 8 per equity share of Rs 5 face value. The total payout will amount to Rs 10,064 crore, the highest dividend paid by the company in a single instalment.
ONGC said it drilled its first exploratory well, MNDWO181HDB-1 in OALP Block MN-DWHP-2018/1 in the Mahanadi deepwater. "The well has been proved gas-bearing, marking an important outcome of ONGC's exploration efforts under the National Offshore Exploration Scheme."
The company also notified two hydrocarbon discoveries, both on land, during Q2 FY27.
