This latest contract is for the provision of charter hiring services for gas compression, a critical component in optimizing hydrocarbon production. The services are slated to be deployed at ONGC’s Lakhmani GGS-5, Assam Asset, a key operational site. The agreement spans an impressive period of three years, offering Deep Industries a substantial and predictable revenue stream. The total estimated value of this award stands at approximately INR 83.81 crores, marking it as a significant addition to the company’s backlog.
Securing such a substantial and long-term contract from a public sector behemoth like ONGC underscores Deep Industries’ established expertise and reliability in delivering essential services to the upstream oil and gas industry. Gas compression services are indispensable for enhancing recovery from mature fields and ensuring the efficient processing and transportation of natural gas, a cornerstone requirement for major energy corporations. This repeat business not only validates Deep Industries’ operational capabilities but also reinforces its competitive advantage within the domestic market.
The order, which falls within the ordinary course of business and is not a related party transaction, is expected to contribute positively and sustainably to the company’s financial performance over the next three fiscal years. It reflects Deep Industries’ consistent commitment to delivering high-quality, specialized services and its success in cultivating robust client relationships – factors that are paramount for sustained growth in the capital-intensive energy sector. For investors, this development serves as a strong positive indicator of the company’s continued operational strength, promising future revenue visibility, and its integral role in India’s energy landscape.