Deep Industries Ltd announced a significant order valued at ₹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 ₹ 1,246 Cr.
Paras Savla, MD, Deep Industries Ltd. said, “The PEC framework not only broadens our revenue streams but also enhances our profitability, making it a value-accretive proposition for our stakeholders.
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.
Shares of Deep Industries surged on the bourse and were at an all time-high post the announcement.