State-run Oil and Natural Gas Corporation (ONGC) is planning to curtail its oil production costs by 15% in the next two years as it expects crude oil prices to range between $60-$65 per barrel in the medium term.

The company is targeting to save around Rs 9,000 crore by 2026-27, Pankaj Kumar, Director Production said on Monday. Of this, the company expects to save Rs 4,000 crore in the current fiscal 2025-26.

ONGC has also set up a dedicated cost council to bring down its production costs by 15%. At present, the company’s cost of production of oil stands at around $45 per barrel.

To achieve the same, the company is undertaking a number of initiatives, it said, including offshore resource optimisation, increasing drilling efficiency, optimisation of logistics route, and inventory reducti

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