Deep Industries Secures Rs 1,402 Cr Order For Production Enhancement Operations From ONGC

Deep Industries (DIL), an integrated solutions provider for Oil and Gas field operations, on Monday secured an order of Rs 1,402 crore from Oil and Natural Gas Corporation (ONGC). The contract is for production enhancement operations in the mature fields of ONGC's Rajahmundry Asset and spans a duration of 15 years. This is the largest project awarded to the company to date, more than doubling its current order book. As on June 30, 2024, the company’s order book stood at Rs 1,246 crore.
 
Commenting on the order, Paras Savla, MD, Deep Industries said, “We are thrilled to announce this landmark achievement as we extend our expertise into production enhancement contracts (PEC). This strategic win positions us to play an increasingly integral role in the evolving oil and gas services value chain. With over three decades of experience in the sector, Deep Industries is well-equipped to optimise oil and gas production through the deployment of proven, advanced techniques.”
 
He added, the PEC framework not only broadens our revenue streams but also enhances our profitability, making it a value-accretive proposition for our stakeholders. We remain confident in our ability to deliver exceptional outcomes, driving sustainable growth and long-term success.
 
Production Enhancement Contracts (PEC) are aimed at increasing the production of hydrocarbons from the ageing, depleted and mature fields typically spanning around 15 years beyond the original life of the asset. At Rajahmundry asset, ONGC wishes to further develop hydrocarbon reserves from the contract areas in a way that improves current production and ultimate recovery of hydrocarbons by application of safe and efficient operating practices and suitable techniques and technologies.