OIL AND NATURAL GAS CORPORATION LTD Oil and Natural Gas Corporation Limited (ONGC) (incorporated on June

23, 1993) is an Indian public sector petroleum company. It is a Fortune Global 500 company ranked 335th, and contributes 77% of India's crude oil production and 81% of India's natural gas production. It is the highest profit making corporation in India. It was set up as a commission on August 14, 1956. Indian government holds 74.14% equity stake in this company. ONGC is one of Asia's largest and most active companies involved in exploration and production of oil. It is involved in exploring for and exploiting hydrocarbons in 26 sedimentary basins of India. It produces about 30% of India's crude oil requirement. It owns and operates more than 11,000 kilometers of pipelines in India. Until recently (March 2007) it was the largest company in terms of market cap in India.[1] History 1947-1960 During the pre-independence period, the Assam Oil Company in the northeastern and Attock Oil company in northwestern part of the undivided India were the only oil companies producing oil in the country, with minimal exploration input. The major part of Indian sedimentary basins was deemed to be unfit for development of oil and gas resources. After independence, the national Government realized the importance oil and gas for rapid industrial development and its strategic role in defense. Consequently, while framing the Industrial Policy Statement of 1948, the development of petroleum industry in the country was considered to be of utmost necessity. In 1955, Government of India decided to develop the oil and natural gas resources in the various regions of the country as part of the Public Sector development. With this objective, an Oil and Natural Gas Directorate was set up towards the end of 1955, as a subordinate office under the then Ministry of Natural Resources and Scientific Research. The department was constituted with a nucleus of geoscientists from the Geological survey of India A delegation under the leadership of Mr. K D Malviya, the then Minister of Natural Resources, visited several European countries to study the status of oil industry in those countries and to facilitate the training of Indian professionals for exploring potential oil and gas reserves. Foreign experts from USA, West Germany, Romania and erstwhile U.S.S.R visited India and helped the government with their expertise. Finally, the visiting Soviet experts drew up a detailed plan for geological and geophysical surveys and drilling operations to be carried out in the 2nd Five Year Plan (1956-57 to 1960-61). In April 1956, the Government of India adopted the Industrial Policy Resolution, which placed mineral oil industry among the schedule 'A' industries, the future development of which was to be the sole and exclusive responsibility of the state. In October 1959, the Commission was converted into a statutory body by an act of the Indian Parliament, which enhanced powers of the commission further. The main functions of the Oil and Natural Gas Commission subject to the provisions of the Act, were "to plan, promote, organize and implement programmes for development of Petroleum Resources and the production and sale of petroleum and petroleum products produced by it, and to perform such other functions as the Central Government may, from time to time, assign to it ". The act further outlined the activities and steps to be taken by ONGC in fulfilling its mandate.

1961-1990 Since its inception, ONGC has been instrumental in transforming the country's limited upstream sector into a large viable playing field, with its activities spread throughout India and significantly in overseas territories. In the inland areas, ONGC not only found new resources in Assam but also established new oil province in Cambay basin (Gujarat), while adding new petroliferous areas in the Assam-Arakan Fold Belt and East coast basins (both inland and offshore). ONGC went offshore in early 70's and discovered a giant oil field in the form of Bombay High, now known as Mumbai High. This discovery, along with subsequent discoveries of huge oil and gas fields in Western offshore changed the oil scenario of the country. Subsequently, over 5 billion tonnes of hydrocarbons, which were present in the country, were discovered. The most important contribution of ONGC, however, is its self-reliance and development of core competence in E&P activities at a globally competitive level. After 1990 The liberalized economic policy, adopted by the Government of India in July 1991, sought to deregulate and de-license the core sectors (including petroleum sector) with partial disinvestments of government equity in Public Sector Undertakings and other measures. As a consequence thereof, ONGC was re-organized as a limited Company under the Company's Act, 1956 in February 1994. After the conversion of business of the erstwhile Oil & Natural Gas Commission to that of Oil & Natural Gas Corporation Limited in 1993, the Government disinvested 2 per cent of its shares through competitive bidding. Subsequently, ONGC expanded its equity by another 2 per cent by offering shares to its employees. During March 1999, ONGC, Indian Oil Corporation (IOC) - a downstream giant and Gas Authority of India Limited (GAIL) - the only gas marketing company, agreed to have cross holding in each other's stock. This paved the way for long-term strategic alliances both for the domestic and overseas business opportunities in the energy value chain, amongst themselves. Consequent to this the Government sold off 10 per cent of its share holding in ONGC to IOC and 2.5 per cent to GAIL. With this, the Government holding in ONGC came down to 84.11 per cent. In the year 2002-03, after taking over MRPL from the A V Birla Group, ONGC diversified into the downstream sector. ONGC will soon be entering into the retailing business. ONGC has also entered the global field through its subsidiary, ONGC Videsh Ltd. (OVL). ONGC has made major investments in Vietnam, Sakhalin and Sudan and earned its first hydrocarbon revenue from its investment in Vietnam. BIRDS EYES VIEW TO ORGANISATION CORPORATE DETAILS: Oil and Natural Gas Corporation Limited ( ONGC India) is considered Asia's best Oil & Gas company . It ranks as the 2nd biggest E&P company (and 1st in terms of profits), as per the Platts Energy Business Technology (EBT) Survey 2004. It ranks 24th among Global Energy Companies by Market Capitalization in PFC Energy 50 (December 2004). ONGC was ranked 17th till March 2004, before the shares prices dropped marginally for external reasons. Activities Everyone who works at ONGC India is responsible for protecting the environment, health and safety of our people and communities worldwide. Our commitment to SHE performance is an integral part of our business, and achieving costeffective solution is essential to our long-term success. The dedication to the causes of environment and safety in ONGC is amply demonstrated by the fact that a separate institute named Institute of Petroleum Safety, Health and Environment Management (IPSHEM) had been set up way back in 1989 to deal with these issues. Oil and Natural Gas Corporation Limited ONGC 's safety policy seeks to provide safe and healthy working conditions and enlist the active support of all staff in achieving these ends. The development activities of ONGC has been planned on sound ecological principle and incorporates appropriate environmental safeguards.

Performance Exploration and production stock, ONGC has recovered by over 11 per cent in March,2007. In the last one week, the counter has gained around 4.14 per cent. But the current market valuation of Rs 878 is considered a pale shadow of its peak-traded price of Rs 1,514, hit in May 2006. Gross sales for the quarter and nine months ended on 31st December, 2006 include Rs. 1381.18 crore (previous quarter Rs. 527.96 crore) and Rs. 4690.88 crore (previous nine months Rs. 2679.98 crore) respectively towards trading of products of MRPL, a subsidiary of ONGC . The 2006-07 results, expected by the middle of next month, may show higher profit by ONGC Videsh Ltd , a 100 per cent subsidiary of ONGC . ONGC Videsh: Accreting hydrocarbon resources abroad Our Vision To be a world-class exploration and production company providing security oil to the country. Our Mission By 2025, to contribute 60 MMTPA of equity oil and gas. Our Objectives

To build balanced portfolio of exploration, discovered and producing assets in focus countries To be at par with the best international oil and gas companies Be the strongest Indian Player in the international E&P Build collaborative relations with partners Our Footprint As of Sep 2008, OVL has a presence in 37 E&P projects in 18 countries: Brazil . Colombia . Congo . Cuba Egypt . Iraq . Iran . Libya . Myanmar Nigeria . Nigeria Sao Tome & Principe Russia . Sudan . Syria . Turkmenistan Trinidad & Tobago . Venezuela Vietnam

ONGC Videsh Limited (OVL) is a wholly-owned subsidiary of Oil and Natural Gas Corporation Limited (ONGC) the flagship national oil company of India. The primary business of OVL is to prospect for oil and gas acreages abroad including acquisition of oil and gas fields, exploration, development, production, transportation and export of oil and gas. Incorporated as Hydrocarbons India Private Limited on March 5, 1965 and rechristened as ONGC

Videsh Limited on June 15, 1989, OVL, over a period of time has grown to become the second-largest E&P company in India both in terms of oil production and oil and gas reserve holdings

Starting with the exploration and development of the Rostam and Raksh oil fields in Iran and undertaking a service contract in Iraq, a major breakthrough was achieved by OVL in 1992 in Vietnam with the discovery of two major free gas fields, namely LanTay and LanDo, in partnership with British Petroleum and Petro-Vietnam. The success carried on thereafter. In 2001, OVL acquired 20% stake in Sakhalin-1 project in the far east of Russia with an investment of over USD 2.1 billion the single largest Foreign Direct Investment made by an Indian company at that time. The company, adopting a balanced portfolio approach, maintains a combination of producing, discovered and exploration assets, working as operator in 18 projects and joint operator in 2 projects. OVL produces hydrocarbons from its 7 assets, namely, Russia (Sakhalin-I), Syria (Al-Furat Project), Vietnam (Block 06.1), Colombia (Mansarover Energy Project), Sudan (Greater Nile Oil Project and Block 5A) and Venezuela (San Cristobal Project). Balance 5 projects are in development phase and 25 are in the exploration phase. OVLs international oil and gas operations produced 8.802 MMT of O+OEG in 2007-08 as against 0.252 MMT of O+OEG in 2002-03. Today, OVLs cumulative investment overseas has crossed USD 7.5 billion. While OVL participates and operates in varied environments both political and geographical, it is committed to the highest standards of Occupational Health, Safety and Environment protection and compliance to all applicable local laws and regulations. Understanding well its Corporate Social Responsibility, OVL makes valuable contributions to the communities and economies in which it operates by investing in education and training, improving employment opportunities for nationals, and providing medical, sports and/or agricultural facilities, besides payment of tax revenues to local governments. Some of the leading alliance partners of OVL are BP, CNPC, Ecopetrol, ENI, Exxon, Norsk Hydro, PDVSA, Petrobras, Petronas , Petrovietnam, Repsol, Rosneft, Shell, Sinopec, Total and TPOC. Frontier of technology :State-of-the-art seismic data acquisition, processing and interpretation facilities Uses one of the Top Ten Virtual Reality Interpretation facilities in the world Alliances with Transocean, Schlumberger, Halliburton and Baker Hughes, IPR, Petrobras, Norsk One of the biggest ERP implementations in the Asia Competative strength:All crudes are sweet and most (76%) are light, with sulphur percentage ranging from 0.02-0.10, API gravity range 2646 and hence attract a premium in the market. ONGC owns and operates more than 15000 kilometers of pipelines in India,including nearly 3800 kilometers of sub-sea pipelines. No other company in India, operates even 50 per cent of this route length. Maximum number of Exploration Licenses, including competitive NELP rounds. ONGC has bagged 85 of the 162 Blocks (more than 50%) awarded in the 6 rounds of bidding, under the New Exploration Licensing Policy (NELP) of the Indian Government

Strong intellectual property base, information, knowledge, skills and experience Strategic vision :-2001-2020 To focus on core business of E&P, ONGC has set strategic objectives of: Doubling reserves (i.e. accreting 6 billion tonnes of O+OEG). Improving average recovery from 28 per cent to 40 per cent. Tie-up 20 MMTPA of equity Hydrocarbon from abroad The focus of management will be to monetise the assets as well as to assetise the money. Pioneering Effort ONGC IS THE ONLY FULLYINTEGRATED PETROLEUM COMPANY IN INDIA, OPERATING ALONG THE ENTIRE HYDROCARBON VALUE CHAIN: CREATED A RECORD OF SORTS BY TURNING MANGALORE REFINERY AND PETROCHEMICALS LIMITED AROUND FROM BEING A STRETCHER CASE FOR REFERRAL TO BIFR TO THE BSE TOP 30, WITHIN A YEAR. HOLDS LARGEST SHARE OF HYDROCARBON ACREAGES IN INDIA. CONTRIBUTES OVER 80 PER CENT OF INDIANS OIL AND GAS PRODUCTION. ABOUT ONE TENTH OF INDIAN REFINING CAPACITY. THE ROAD AHEAD ONGC LOOKS FORWARD AS TO BECOME AN INTEGRATED ENERGY PROVIDERS, BY : DISCOVERIES AND FAST TRACK DEVELOPMENT EQUITY OIL FROM ABROAD LEVERAGING STATE-OF-ART TECHNOLOGY AND GLOBAL BEST PRACTICES NEW PRODUCTION FROM MARGINAL FIELD BEST IN CLASS INFRASTRUCTURE AND FACILITIES ONGCs success rate is at par with the global norm and is elevating its operations to the best in class level, with the modernization of its fleet of drilling rigs and related equipment. ONGC has adopted Best-in-class business practices for modernization, expansion and integration of all Info-com systems. Onshore Production Installations :- 240 Pipeline Network (km) :- 15,800 Drilling Rigs :- 70 Work Over rigs :- 74 Seismic Units :- 29 Logging Units :- 32 Engineering Workshops :- 2 Virtual Reality Centre :- 5 Regional Computer Centre :- 5 Offshore Well Platforms :- 147 Well-cum-Process Platforms :- 32 Process Platforms :- 13 Drilling Rigs :- 29

 Pipeline Networks (km) :- 4,500 Offshore Supply Vessels :- 55 Special Application Vessels :- 4 (including 2 MSV) Seismic Vessels :- 1 ONGC Represents India's Energy Security: ONGC has single-handedly written India's hydrocarbon saga by the following methods:

Building 6 billion tonnes of In-place hydrocarbon reserves with more than 300 discoveries of oil and gas; in fact, 5 out of the 6 producing basins have been discovered by ONGC : out of these In-place hydrocarbons in domestic acreage, Ultimate Reserves are 2.1 Billion Metric Tonnes (BMT) of Oil Plus Oil Equivalent Gas (O+OEG). Cumulatively producing 685 Million Metric Tonnes (MMT) of crude and 375 Billion Cubic Meters (BCM) of Natural Gas, from 115 fields. ONGC has single-handedly scripted Indias hydrocarbon saga by Establishing 6.61 billion tonnes of In-place hydrocarbon reserves with more than 300 discoveries of oil and gas; in fact, 6 out of the 7 producing basins have been discovered by ONGC: out of these In-place hydrocarbons in domestic acreages, Ultimate Reserves are 2.36 Billion Metric tonnes (BMT) of Oil Plus Oil Equivalent Gas (O+OEG). ONGCs wholly-owned subsidiary ONGC Videsh Ltd. (OVL) is the biggest Indian multinational, with 44 Oil & Gas projects (7 of them producing) in 18 countries, i.e. Vietnam, Sudan, Russia, Iraq, Iran, Myanmar, Libya, Cuba, Colombia, Nigeria, Nigeria Sao Tome JDZ, Egypt, Brazil, Congo, Turkmenistan, Syria, Venezuela and United Kingdom. OVL has a committed overseas investment of over 5 billion US dollars. ONGC has bagged 85 of the 162 Blocks (more than 50%) awarded in the 6 rounds of bidding, under the New Exploration Licensing Policy (NELP) of the Indian Government. INDIAS MOST VALUABLE PUBLIC SECTOR ENTERPRISE

Ranked as the most respected Public Enterprise in India in 2007 Business World Survey, with 19th position in the league of the most-respected Indian Corporate(s). Rated Excellent in MOU Performance Rating for 2006-07 by the Department of Public Enterprises, Ministry of Heavy Industries in Public Enterprises, Golden Peacock Global Award 2007 for Excellence in Corporate Governance 2007, for the 3rd consecutive time, conferred by World Council for Corporate Governance. Bagged the coveted winners trophy of the maiden Earth Care Award for excellence in climate change mitigation and adoption under the category of GHG mitigation in the small/medium and large enterprises. Oil Industry Safety Directorate (OISD) has selected Ahmedabad Asset and MRPL for the year 2006-07 (as number one in Group-4 category (Oil & Gas Assets) and Second in Group-1 Refinery category respectively). Topped the visibility metrics in Indian Oil and Gas Sector and the only PSU in the top 10 list of Indian Corporate newsmakers. Conferred with Infraline Energy Excellence Award for its services to the Nation in Oil & Gas Exploration and Production category Bestowed with Amity Award for Excellence in Cost Management.

Global Ranking ONGC ranks as the Numero Uno Oil & Gas Exploration & Production (E&P) Company in the world, as per Platts 250 Global Energy Companies List for the year 2008 based on assets, revenues, profits and return on invested capital . ONGC ranks 20th among the Global publicly-listed Energy companies as per PFC Energy 50 (Jan 2008) ONGC is the only Company from India in the Fortune Magazines list of the Worlds Most Admired Companies 2007. Occupies 152nd rank in Forbes Global 2000 2009 list (up 46 notches than last year) of the elite companies across the world; based on sales, profits, assets and market valuation during the last fiscal. In terms of profits, ONGC maintains its top rank from India. Human Resources/Industrial Relations HR Vision:"To build and nurture a world class Human capital for leadership in energy business". HR Mission:"To adopt and continuously innovate best-in-class HR practices to support business leaders through engaged, empowered and enthused employees". HR Objectives :Enrich and sustain the culture of integrity, belongingness, teamwork, accountability and innovation. Attract, nurture, engage and retain talent for competitive advantage. Enhance employee competencies continuously. Build a joyous work place. Promote high performance work systems. Upgrade and innovate HR practices, systems and procedures to global benchmarks. Promote work life balance. OVL follows the HR policies of its parent company ONGC. However, being an international operator, the Company provides necessary training / conducts development programmes to imbibe the necessary skills required to operate in the international environment. Further, OVL deputes its personnel along with other international experts, in joint venture projects with major oil and gas companies which enable them to upgrade their skills in terms of new technologies, working in international environment etc. OVL has been operating with optimally required manpower provided by ONGC. The total manpower of OVL was 190 as on March 31, 2008 as compared to 110 as on March 31, 2007. As on March 31, 2008, 56 executives were posted to various overseas projects. Environment As per the HSE policy of OVL adopted during the year, it is committed to maintain highest standards of Occupational Health, Safety and Environment protection and comply with all applicable laws requirements. OVL conducts its business in a manner that is compatible with the environmental and economic needs of the societies in which it operates. In the projects operated by OVL, it complies with all applicable environmental laws and regulations. The major non-operated projects, in which OVL is a partner, are operated by global companies like Exxon Mobli, BP, Shell, etc. who maintain very high HSE standards.

Corporate Social Responsibility OVL, operating overseas, understands its responsibility to contribute to the communities and economies of the countries in which it operates. OVL is committed to create a positive and lasting social impact by developing successful partnerships built ion mutual trust and respect, ultimately, raising the standard of living and the stability of the communities of the countries in which it operates. OVL makes valuable contributions in many ways: through payment of tax revenues to governments; by investing in education and training and improving employment opportunities for nationals; providing medical/sports/agricultural facilities to the local communities, etc. During 2007-08, OVL had also contributed USD 100,000 to the relief fund of the local authorities of Sakhalin, Russia to support relief efforts for victims of the devastating earthquakes in Nevelsk. Further, with the objective to ensure access by every citizen to information under the control of the Company and in order to bring in transparency and accountability, an appropriate mechanism has been set up at OVL's registered office in New Delhi in the line with the requirements of Right to Information Act, 2005. Safety Policy OVL's Safety Policy seeks to provide safe and healthy working conditions and enlist the active support of all staff in achieving these ends. The objectives are : To promote standards of safety, health & welfare in accordance with the requirements of Directorate of Mines Safety and also other relevant statutory provisions as well as approved codes of practices. To maintain safe and healthy work places and safe systems and methods of work. To protect staff and others, including the public and employees of contractors, from foreseeable work hazards on OVL's premises. To equip the staff with the information, instructions, training and supervision needed for safe working. To provide and maintain a safe and healthy working environment for staff with adequate facilities and arrangements for their welfare. To develop safety awareness amongst the staff. To make staff aware of their individual responsibility to take all reasonable care for the health and safety of themselves and others who may be affected by their acts of omissions at work, and to cooperate with management and other staff in matters of safety. To have required safety organisation adequately manned for the purpose. To budget expenditure required for above purposes. Environment Policy The development activities of the OVL should be planned on sound ecological principle and must incorporate appropriate environmental safeguards. Environmental impact assessment, with the details required by the "Department of Environment" should be prepared at the earliest stage of project formulation and necessary financial provisions for various environmental program and safeguards be indicated in the project estimates. Environmental norms prescribed by the Central and state government, statutorily empowered to do so, in the matter of air and water quality, noise, land use, afforestation etc. should be strictly observed in the design, construction and operation of all facilities of the corporation. The widest possible range of information on practical options available for the design of the project should be gathered and analysed for final decision making technology that ensures energy economy, environmental safeguards, recycling of

resources and utilization of wastes should be adopted for all projects. Releases of hydrocarbons, chemicals and other materials should be controlled so that it does not disturb the flora and fauna. Releases containing viruses, pathogenic bacteria and parasites, which survive in marine life, should be completely eliminated and precluded from entering marine waters. Productivity of the environment adjacent to the project areas and resource of the coastal waters should not be adversely affected. No action harmful to the potential for marine resources such as fish, salt, crustacea, etc. should be permitted. Coastal marine areas should not be subjected to unplanned salutation, erosion, changes in flow pattern and coastal contours. Microbiological activity of significance to marine and estuarine life and people dependent on the coastal waters should be fully protected. Aesthetic, cultural and social patterns and historical characteristics of the areas covered by or adjacent to the OVL's prefects should not be unduly disturbed by the project activities. Scenic landscapes, historical heritage and cultural monuments should be preserved and the environment around them should be kept clean and hygienic. As far as possible, a minimum area of 500 metres from the high tide mark in respect of coastal projects located near river banks should be kept clear of all structures so that beach activities or river front development are not adversely affected. Effective mechanisms for monitoring the environment and for collection of the required data of various parameters of the environment for the purposes of surveillance should be set up within each project. Rules & Acts Environment Rules & Acts The Water (Prevention & Control of Pollution) Act, 1974 & Amendments thereafter The Air (Prevention & Control of Pollution) Act, 1981 & Amendments thereafter The Environment (Protection) Act and Rules, 1986 Hazardous Wastes (Management & Handling Rules), 1989 Manufacturing, Storage & Import of Hazardous Chemical Rules, 1989 Ambient Noise Standards Rules & Acts Public Liability Insurance Act, 1991 & Amendments thereafter National Ambient Air Quality Standards, 1994 Oil Drilling & Gas Extraction Industry Standards, 1996 Safety Rules & Acts Oil Mines Regulations, 1984 Mines Act, 1972 Indian Electricity Rules, 1956 Petroleum Rules, 1976 Explosive Rules, 1983 Factory Act, 1984 Not only had India... set up her own machinery for oil exploration and exploitation... an efficient oil commission had been built where a large number of bright young men and women had been trained and they were doing good work." - Lal Pandit Jawahar Nehru, Indias first Prime Minister to Lord Mountbatten, on

(1959). Today, ONGC is the flagship company of India; and making this possible is a dedicated team of nearly 33,000 professionals who toil round the clock. It is this toil which amply reflects in the aspirations and performance figures of ONGC. The company has adopted progressive policies in scientific planning, acquisition, utilization, training and motivation of the team. At ONGC, everybody matters, every soul counts. ONGC has a unique distinction of being a company with in-house service capabilities in all the activity areas of exploration and production of oil & gas and related oil-field services. Needless to emphasize, this was made possible by the men & women behind the machine. Over 18,000 technicallycompetent experienced scientists and engineers, mostly from distinguished Universities / Institutions of India and abroad form the core of our executive profile. They include geologists, geophysicists, geochemists, drilling engineers, reservoir engineers, petroleum engineers, production engineers, engineering & technical service providers, financial and human resource experts and IT professionals. Inculcate a sense of Corporate Social responsibilities performance. Measuring HR Performance HR Parameters have been incorporated in the MOU by ONGC since 1994-95, to systematically and scientifically evaluate effectiveness of HR Systems, which enables and facilitates time bound initiatives. HR Parameters of MoU for 2009-2010 Mentoring and coaching HR Audit Engagement Survey Continuous professional education credit course for finance executives of ONGC.