India’s state-owned oil and gas company Oil and Natural Gas Corporation (ONGC) is planning to invest INR2 trillion ($24.17bn) in clean energy projects to meet its net-zero carbon emissions targets for 2038.

ONGC accounts for nearly two-thirds of the country’s oil production and 58% of gas production.

The public sector undertaking (PSU) is aiming to enhance its hydrocarbon output while strengthening its presence in the clean energy sector.

The company would invest INR1 trillion ($12.1bn) to own 10GW of renewable energy capacity by 2030.

It is constructing a 5GW solar energy project in the Indian state of Rajasthan, with plans to set up offshore wind energy plants.

The company is also looking for a partner to set up a one million tonnes per year green ammonia project.

ONGC chairman Arun Kumar Singh said: “ONGC is also actively exploring collaborations with leading players to leverage various low carbon energy opportunities including renewables, green hydrogen, green ammonia, and other derivatives of green hydrogen.

“We have financial muscle to invest both in hydrocarbon and new energy. ONGC has the capability to raise up to five trillion rupees.”

ONGC aims to produce 10,000 barrels per day (bpd) of oil from its deepwater block in the Krishna Godavari basin, from October-November this year, with plans to double it by March next year.

The oil output from the east coast block can be increased to 45,000bpd in 2024-25.

Furthermore, the Indian PSU targets a gas output of 10 million cubic metres per day from the KG 98/2 block by May-June next year.