According to Managing Director Rajarshi Gupta during a company function on 30 August, ONGC Videsh Limited (OVL) is in the advanced stages of negotiations with the US for a waiver to reclaim ownership of oil resources from Venezuela.

ONGC’s international division has received $600 million in dividends for its investments in Venezuelan assets.

OVl holds a stake in two fields in Venezuela, including Carabobo-1 and San Cristobal, but its dividends have been stuck due to US sanctions against Venezuela. 

Additionally, OVL has applied for and is awaiting a response from the US for a “specific licence” so that it can act as the primary operator for these fields.

As to the official statement, the combined production from the two fields in Venezuela is currently at 12,000 barrels per day (bpd); it is expected to increase to 45,000 bpd in four to five years.

Gupta stated that the company anticipates a judgement soon about their dividend that is blocked in Russia.

Indian oil corporations are looking into the idea of purchasing oil from Russia with over $600 million of their dividend revenue that is stuck there, according to media reports from last year.

India’s top four oil companies—Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), Oil India Ltd, and ONGC Videsh Ltd—are facing challenges in repatriating dividend income from their investments in Russian oil and gas fields. The funds are currently stuck in Russian bank accounts due to stringent Western sanctions imposed following Russia’s invasion of Ukraine. These sanctions have made it difficult to transfer the accrued dividend income back to India. 

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