India's ONGC signs Venezuela oil deals and builds new strategic storage site

India's state‑owned Oil and Natural Gas Corporation (ONGC) said it expects to sign agreements with Venezuela to operate two oil blocks under the country's new hydrocarbon law. The company, through its overseas investment arm ONGC Videsh, already holds a 40% stake in the San Cristobal field and an 18% stake in the Carabobo‑1 project. CFO Anupam Agarwal noted the new legal framework gives ONGC full freedom to work on Venezuelan projects that were previously restricted by sanctions risk, and the firm aims to take over operations currently managed by PDVSA.

Separately, ONGC announced plans to build a new oil storage facility at Mangaluru in Karnataka on the Arabian Sea. The site will hold about 13 million barrels (1.75 million metric tons) of crude, with half reserved for strategic petroleum reserves and the other half for commercial use. Funded by ONGC at an estimated $1.6 billion, the project is intended to boost India's resilience after supply disruptions caused by the Iran war and constrained flows through the Strait of Hormuz. India, the world’s third‑largest crude importer, currently has strategic reserves enough for just eight days of demand.