The company, which is traditionally into the business of oil & gas exploration & production, proposes to set up this vertical once it has sizeable hydrocarbon volumes to sell, says the financial newspaper.
ONGC Videsh Ltd (OVL), the overseas investment arm of ONGC, is looking to set up a crude oil trading vertical soon, reports a business daily. OVL is in talks with international players to set up the desk overseas.
The company, which is traditionally into the business of oil & gas exploration & production, proposes to set up this vertical once it has sizeable hydrocarbon volumes to sell, says the financial newspaper.
"We aspire and aim to develop our own marketing capability to capture better value of our hydrocarbons and whatever we produce - actually a downward integration to capture better value for our produce,” OVL MD Narendra K Verma told the paper.
"This is a purely commercial decision for OVL. Right now, OVL sells its crude through a tendering process, which has its own problems. Having a trading desk will make the task easier," he added.
From its 14 producing assets OVL has produced 4.137 million tonnes of oil and 2.558 billion cubic metre of gas for the first nine months of FY16, which was close to the year-ago period (4.144 mt of oil and 2.419 bcm of gas).
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