ONGC Surges 5% After Its Overseas Wing Makes Fourth Commercial Oil Find in Colombia

New Delhi: Shares of the state-run Oil and Natural Gas Corporation (ONGC) surged nearly 5 per cent to Rs 94 on the BSE in the early morning deals on Monday after the company announced on Friday that its overseas subsidiary ONGC Videsh Limited (OVL) has made a “significant strike of oil” in Columbia. This is the fourth commercial find in the block by ONGC Videsh. Also Read – ONGC Apprenticeship Result 2020 Declared @ ongcindia.com | Follow These Steps to Check

As of 11:50 am, ONGC was trading 2.28 per cent higher at Rs 91.90, outperforming the Sensex, which was up only 0.23 per cent. Also Read – Domestic Gas Prices May Fall Further in October

“ONGC Videsh Limited (OVL), the wholly owned subsidiary and overseas arm of ONGC, has made a significant strike of oil in its onshore block CPO-5, Colombia, in Llanos Basin. OVL is Operator in the block with 70 per cent stake along with its Partner Geopark Ltd. (30 per cent stake) an independent oil and gas company focused in Latin America,” the company said in a press release. Also Read – ONGC Recruitment 2020: Registration For Apprentice Posts to End Today, Apply on ongcindia.com

CPO-5 is a large onland block and offers multi-play exploratory and appraisal opportunities. The company now plans to drill more wells to explore the other plays in the block in immediate future. OVL is also undertaking additional 3D Seismic data to map more drillable prospects in the other sectors of the block, ONGC said.

“The well “Indico-2″ lies approximately 0.9 km northwest of the well Indico-1 in subsurface and was dug on September 21, 2020. The target depth of 10,925 feet was reached on October 20, 2020. The well, during initial testing, produced oil of 35.2 degrees with commercial quantity at 6,300 barrels of oil per day (BOPD),” ONGC added.

OVL has a significant presence in Colombian Oil & Gas sector and holds Participating Interest in 7 exploratory blocks in addition to two producing blocks with 50 per cent stake in JV Company, Mansarovar Energy Colombia Ltd (MECL).