“Flat start for markets, but ONGC’s biggest upstream bet yet is anything but boring—watch this!”

Recent Corporate Development ONGC has entered into a Heads of Agreement with Japan’s Mitsui O.S.K. Lines to build, own and operate two Very Large Ethane Carriers (VLECs) for importing ethane. This strategic tie-up aims to secure feedstock for ONGC’s downstream operations, subject to board approvals. Market Performance Highlights On July 4, Gift Nifty indicated a flat start as global cues remained mixed. Among the key stocks to watch, ONGC was spotlighted for its VLEC agreement, although broader oil & gas peers largely traded in line with sectoral trends. Domestic benchmarks Sensex and Nifty50 opened subdued, reflecting caution ahead of weekly F&O expiry. Analyst Outlook Jefferies projects a 14% EPS compounded annual growth rate for ONGC over FY25–27, underpinned by higher production and improved gas pricing. The firm pegs the stock’s fair value on $55 crude, suggesting a potential upside of over 50%. What to Watch Next Approval timeline for the VLEC deal and capex implications Q1FY26 production and realization data Crude & gas price movements amid global supply-demand shifts Stay tuned for updates on ONGC’s operational guidance and sector-wide policy developments.