(LiveMint)
State-run Oil and Natural Gas Corp. Ltd (ONGC) plans to raise Rs1,671 crore for its associate company, ONGC Petro additions Ltd (OPaL), two officials aware of the development said. ONGC holds 49.36%, GAIL (India) Ltd 49.21% and Gujarat State Petroleum Corporation (GSPC) 1.43% stake in OPaL, as of March 2016. “By next month we would be infusing equity in OPaL to the extent of Rs1,671 crore which we plan to raise through private placements of compulsory convertible debentures,” the first ONGC official said on condition of anonymity.
ONGC did not respond to an email sent Thursday. OPaL operates a $4.5 billion mega petrochemicals complex in the Dahej special economic zone (SEZ) in Gujarat. The complex was inaugurated by Prime Minister Narendra Modi on 7 March after much delay and cost overruns.
The plant will annually produce 1.4 million tonnes of polymers such as linear low density polyethylene and high density polyethylene, polypropylene and 500,000 tonnes of chemicals like benzene, butadiene and pyrolysis gasoline, among other products.
