Joint Venture3 Jul 2025, 04:24 pm
ONGC Partners with Mitsui O.S.K Lines to Build, Own, and Operate Two VLECs for Ethane Shipping
AI Summary
Oil and Natural Gas Corporation Limited (ONGC) and Mitsui O.S.K lines Ltd, Japan (MOL) have signed a Heads of Agreement on 3rd July 2025 to enter into a partnership to build, own, and operate two Very Large Ethane Carriers (VLECs). The VLECs will be shipping imported ethane to ONGC Petro Additions Limited (OPaL), a subsidiary of ONGC, for captive use as feedstock. This arrangement is subject to Board approval and further details shall be shared after signing of partnership agreement.
Key Highlights
- ONGC and MOL sign Heads of Agreement for VLEC partnership
- Two VLECs to be built, owned, and operated by ONGC and MOL
- VLECs to ship imported ethane to ONGC's subsidiary OPaL
- Ethane to be used as captive feedstock by OPaL
- Partnership subject to Board approval