Government wants ONGC to list its overseas arm, ONGC Videsh, to improve its valuations but the company feels it is not the right time to list.
The Department of Disinvestment had earlier this month written to all ministeries asking them to list all subsidiaries of public sector companies, with a view to unlock value and improve valuation of the government shareholding.
Following the letter, the oil ministry wrote to Oil and Natural Gas Corp (ONGC) to list its 100 percent overseas investment arm, ONGC Videsh Ltd.
The company, however, felt this was not the right time to list as oil prices are down and the company may not get the right price.
"There is no proposal with the company to list OVL at present," ONGC Chairman and Managing Director Dinesh K Sarraf told reporters here.
OVL Director (Finance) S P Garg confirmed receiving the letter from the ministry but said the company has written back explaining why it was not the right time to list the company.
OVL has stake in 36 projects in 17 countries including Azerbaijan, Kazakhstan, Russia, Brazil, Colombia, Venezuela, Iraq, Syria, Libya, South Sudan, Sudan, Mozambique,Bangladesh, Myanmar, Vietnam and New Zealand.
Out of these 36 projects, 13 are producing, 4 are discovered/under development, 17 are exploratory and remaining two are pipeline projects.
It currently produces about 167,000 barrels of oil and oil equivalent gas per day and has total oil and gas reserves of about 612 million tonnes of oil equivalent as on March 31.
It had a 1,904 crore net profit on sales of Rs 18,491 crore in 2014-15 fiscal. It produced 5.53 million tonnes of crude oil in 2014-15, marginally higher than 5.48 milliontonnes a year ago. Gas output was 16.37 percent higher at 3.34 billion cubic meters.
OVL Managing Director Narendra K Verma said the company is targeting 8.9 million tons of oil and oil equivalent gas in the current fiscal.
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