ONGC to cut output cost by 15% in subdued mkt

STATE-RUN OILAND Natural Gas Corporation (ONGC) is planning to curtail its oil production costs by 15% in the next two years as it expects crude oil prices to be in the range of $60-$65 perbarrelin the medium term.

- ARUNIMA BHARADWAJ

The company is targeting to save around ~9,000 crore by 2026-27, Pankaj Kumar, director production at ONGC said on Monday. Of this, the company expects to save $4,000 crore in the current fiscal.

ONGC has also set up a dedicated cost council to bring down the production costs. At present, the company’s cost of production of oil stands at around $45 per barrel.