Oil & Natural Gas Corporation has disclosed receiving ESG ratings and climate change scores from independent rating agencies, as mandated under SEBI regulations. The energy major shared these assessments with stock exchanges on December 13, providing stakeholders with insights into its sustainability performance.

ESG Rating Performance

NSE Sustainability Ratings and Analytics Ltd awarded ONGC an overall ESG rating of 62, placing the company in the 'Adequate' rating category. The comprehensive assessment evaluated the company across three key pillars:

The rating agency noted that ONGC did not engage them for this assessment. Instead, the ESG rating was prepared independently using information available in the public domain, including annual reports, ESG reports, BRSR filings, and stock exchange disclosures.

Environmental Performance Challenges

The Environment pillar score of 51 reflects several areas requiring improvement. Key factors impacting this score include:

• Greenhouse gas emissions from direct operations exceeding industry averages
• Higher-than-standard Scope 3 emissions with a 31.00% increase compared to the previous year
• Energy intensity remaining above benchmarks
• Lagging behind peers in renewable energy adoption

Water management showed mixed results, with water intensity performance improving by 22.00% year-on-year. However, waste management metrics indicated challenges:

• Waste generation per unit of production decreased by only 12.00%
• Waste recycling and recovery fell significantly short of peer performance with a 71.00% decrease compared to the previous year

Social and Governance Strengths

The Social pillar achieved the highest score of 73, driven by strong safety and employee welfare metrics. ONGC demonstrated:

• Low lost time incident rate compared to peers
• Competitive employee benefits
• Permanent employee health insurance coverage at par with industry norms
• Adequate accident insurance provision

However, the company reported 2 fatalities during the assessment year.

Governance scored 63, reflecting adequate board composition and committee structures. The company:

• Fulfilled regulatory requirements for women representation on the board
• Maintained better-than-required percentages of independent directors across various committees, including Nomination and Remuneration, Audit, Risk Management, and CSR committees

Climate Change Assessment

CDP (Carbon Disclosure Project) awarded ONGC a B score for climate change performance. This assessment was based on information obtained directly from the company. The CDP evaluation covers various categories including business strategy, governance, risk disclosure, emissions management, and environmental policies.

Core ESG Rating Framework

Additionally, ONGC received a Core ESG Rating of 58, comprising:

• Environment score: 45
• Social score: 75
• Governance score: 56

This rating focuses specifically on third-party assured or audited data derived from BRSR Core disclosures, emphasizing transparency and reliability in sustainability reporting.

The disclosure fulfills ONGC's obligations under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, ensuring transparency in ESG performance for investors and stakeholders.

Oil & Natural Gas Corporation Limited has recorded a significant block trade transaction on the National Stock Exchange (NSE), marking notable institutional activity in the energy sector.

Block Trade Details

The transaction involved a substantial volume of shares traded outside regular market hours. The following table summarizes the key parameters of this block trade:

Transaction Significance

Block trades represent large-volume transactions that are typically executed between institutional investors, mutual funds, or other significant market participants. These transactions are conducted outside the regular trading hours to minimize market impact and provide better price discovery for large volumes.

The executed price of ₹240.10 per share reflects the negotiated rate between the participating parties for this bulk transaction. Such trades often indicate institutional repositioning or strategic investment decisions by large investors in the company.

Market Context

As one of India's leading oil and natural gas exploration companies, ONGC remains a key stock in the energy sector. Block trades of this magnitude typically attract market attention as they may signal institutional sentiment and potential shifts in major shareholding patterns.

The transaction volume of approximately 2.86 million shares represents a significant portion of trading activity, highlighting the scale of institutional participation in the company's stock.