ONGC JVs and Samsung Heavy Industries Sign Contract for 2 Indian-flag Very Large Ethane Carriers

Oil and Natural Gas Corporation (ONGC), through its joint venture companies with Japan-based Mitsui O.S.K. Lines (MOL), has entered into shipbuilding contracts with South Korea’s Samsung Heavy Industries for the construction of 2 Very Large Ethane Carriers (VLECs). 

The agreements were signed on January 27, 2026, marking a significant step in strengthening India’s specialised marine logistics capabilities. 

Key Development 

The contracts cover the construction of 2 Indian-flag VLECs, each with a cargo capacity of one lakh cubic metres, to transport approximately 600 KTPA of ethane from the United States to India.  

The vessels will be owned and operated by Bharat Ethane One IFSC Pvt. Ltd. and Bharat Ethane Two IFSC Pvt. Ltd., joint ventures established by ONGC and MOL in GIFT City, Gujarat.  

The ships are scheduled for delivery in FY 2028-29 and will support feedstock supply to ONGC subsidiary OPaL. 

Statements & Strategic Insights 

This initiative is a strategic step toward strengthening India’s energy ecosystem by securing specialised marine logistics for critical feedstock, improving supply-chain resilience, and enabling long-term industrial self-reliance, ONGC said, as per exchange filings.  

The project also aligns with the Prime Minister’s Maritime Amrit Kaal Vision-2047, reinforcing India’s ambition of building a resilient and self-reliant energy infrastructure. 

Strategic Impact 

By developing dedicated Indian-flag ethane shipping capacity, ONGC aims to enhance supply chain security for the petrochemical sector and expand India’s presence in high-value global energy logistics. The initiative is expected to improve operational continuity, reduce external dependency, and strengthen downstream industrial growth. 

Read More: ONGC And Oil India Shares Gain as Crude Prices Hit 12-Week High! 

ONGC Share Price Performance  

As of January 28, 2026, at 9:18 AM, ONGC share price is trading at ₹254.25 per share, reflecting a surge of 2.54% from the previous closing price.  

Conclusion 

The shipbuilding contracts mark a major milestone in ONGC’s strategy to reinforce India’s energy security through advanced logistics infrastructure and international collaboration. 

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