Moody's said although natural gas made up 44 % of ONGC's sales, it only accounted for about 17 % of total sales revenue. "ONGC aims to increase natural gas production over the next few years as it develops its new discovery on the eastern coast of India. However, natural gas will not contribute heavily to ONGC's profitability for the near term," it said. This may be because of the government fixing rates of natural gas it produces. In Asia, China's NOCs CNPC, Sinopec and CNOOC Group are all pursuing national emissions-reduction strategies mainly by ramping up natural gas production and transportation efforts, Wood says.

Source: Mint June 04, 2019 10:41 UTC