Supply Chain
ONGC, Japan’s MOL seal JV to operate ethane carriers from US
The agreements, signed on 5 January 2026, provide for ONGC to acquire a 50% equity stake in Bharat Ethane One IFSC Private Limited and Bharat Ethane Two IFSC Private Limited
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By ICN Bureau | January 06, 2026
State-run Oil and Natural Gas Corporation Limited (ONGC) has signed joint venture and capital contribution agreements with Japan’s Mitsui O.S.K. Lines Ltd. (MOL) to set up two shipping companies at GIFT City, marking a major push into specialised energy logistics.
The agreements, signed on 5 January 2026, provide for ONGC to acquire a 50% equity stake in Bharat Ethane One IFSC Private Limited and Bharat Ethane Two IFSC Private Limited. The Maharatna PSU will subscribe to 2,00,000 equity shares of ₹100 each in both entities, with the remaining 50% held by MOL.
Each joint venture will own and operate a Very Large Ethane Carrier (VLEC) under the Indian flag. The vessels will transport ethane from the United States to meet the feedstock requirements of ONGC Petro additions Limited (OPaL), a subsidiary of ONGC.
The partnership strengthens long-term cooperation between ONGC and MOL, combining MOL’s global maritime expertise with ONGC’s regional strength and operational capabilities to create value across the energy transportation chain.
The move also signals ONGC’s strategic diversification into specialised shipping and energy logistics, aimed at deeper value-chain integration and new growth opportunities.
The initiative aligns with the Prime Minister’s Maritime Amrit Kaal Vision 2047, which focuses on self-reliance, world-class maritime infrastructure and long-term economic resilience.
The project has been undertaken with the support of the Ministry of Petroleum and Natural Gas and the Department of Investment and Public Asset Management under the Ministry of Finance.
