Vedanta escalates the legal battle to the Delhi High Court after the government transfers its offshore asset.
Vedanta has challenged the transfer of its Gujarat offshore oil block to ONGC in the Delhi High Court.
The transfer of a major Gujarat offshore oil block to ONGC has sparked a significant legal dispute. Consequently, Vedanta Oil and Gas Limited has escalated the matter to the Delhi High Court. The company is actively contesting a recent single-judge ruling. This earlier decision upheld the government’s refusal to extend their production-sharing contract.
Operations at the CB-OS/2 block are currently shifting hands. Vedanta initially sought to retain this lucrative Cambay Basin asset. However, the Ministry of Petroleum and Natural Gas rejected a ten-year extension request in September 2025. Officials based this refusal on the 2017 pre-NELP contract extension policy.
The original production-sharing contract actually expired in June 2023. The government granted temporary interim extensions during a review period. Eventually, authorities decided to transfer the contested asset entirely to ONGC. The court then ordered the state-run corporation to assume full operational control.
Vedanta swiftly issued a formal public statement after the July 2026 ruling. Company representatives confirmed that they have formally filed an appeal before the Division Bench. Additionally, they noted that the complex legal matter remains strictly sub judice. The higher court will soon review the entire contract extension dispute.
(Source: ET Energyworld)
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