# ONGC Uses Russian Dividends for Sakhalin Fund

> ONGC leverages stuck Russian dividends to secure Sakhalin-1 stake and pursue Venezuelan oilfields operatorship.
- Title: ONGC Uses Russian Dividends for Sakhalin Fund | Shortify
- Summary: ONGC leverages stuck Russian dividends to secure Sakhalin-1 stake and pursue Venezuelan oilfields operatorship.
- Keywords: ongc, sakhalin-1, venezuela oilfields, ongc videsh, dividend proceeds, abandonment fund, operatorship, pdvsa, The Economic Times
- Source: The Economic Times — https://economictimes.indiatimes.com/industry/energy/oil-gas/ongc-uses-stuck-russian-dividend-dues-for-sakhalin-fund-seeks-operatorship-of-venezuela-oilfields/articleshow/135607808.cms
- Author: PTI
- Published: 2026-11-06T12:36:00+00:00
- Read time: 1 min
- Topics: ongc, sakhalin-1, venezuela oilfields, ongc videsh, dividend proceeds, abandonment fund, operatorship, pdvsa
## ONGC Dividend Stuck in Russia
ONGC used $800 million in Russian dividends to meet Sakhalin-1 abandonment fund obligations.

> ongc videsh ltd, the overseas investment arm of india's top explorer ongc, and other state-run indian companies had not been able to repatriate about $800 million in dividends from stakes in russian energy assets due to western sanctions imposed after moscow's invasion of ukraine in 2022
## Sakhalin-1 Stake Retained
ONGC retained 20% stake in Sakhalin-1 project after using dividends for abandonment fund.

> in october 2022, russian president vladimir putin had ordered the seizure of the project and allowed the russian government to decide foreign investors' ownership rights in the project
## Venezuela Operatorship Negotiations
ONGC Videsh seeks operatorship of San Cristobal and PetroCarabobo oilfields in Venezuela.

> we are trying to see a new type of operating arrangement where we will take the operatorship, and we will run the project
## Venezuela Projects Details
OVL holds 40% stake in San Cristobal and 11% in PetroCarabobo through venezuelan oil projects.

> the two projects were originally intended to provide indian companies access to venezuela's substantial hydrocarbon reserves and diversify india's overseas crude oil portfolio
## Venezuela Dividend Dues
Approximately $500 million in Venezuelan dividends remain outstanding for ONGC.

> the company is examining whether the dues could be settled as part of the proposed operating arrangements or through a separate agreement
## Operatorship Benefits
New operatorship structure allows OVL greater control over production and revenue handling.

> now, in the new arrangement, we will have offtake rights. we will be operating the project. we will update the produce. we will sell
## Key takeaway

ONGC used $800 million in Russian dividends to retain its 20% stake in Sakhalin-1 and seeks operatorship of Venezuelan oilfields.