Vivek Chandrakant Tongaonkar appointed as Director (Finance) at ONGC
ONGC proudly announces the appointment of Mr. Vivek Chandrakant Tongaonkar as the new Director (Finance) on 2 July 2024. Shri Tongaonkar is an Industry veteran with over 37 years of professional experience in diverse activities across the Energy value-chain. He brings a wealth of experience and a proven track record in financial and managerial leadership, making him a valuable addition to India’s Energy Maharatna.
In his previous role, Mr. Tongaonkar served as Director (Finance) & CFO at Mangalore Refinery & Petrochemicals Limited (MRPL) from May 2023 till June 2024. He is also serving as the Chairman of the Board for the Mangalore Special Economic Zone Limited (MSEZL), a key entity within the ONGC group of companies.
Mr. Tongaonkar's educational background includes an Engineering Degree from the College of Engineering, Pune, and an MBA in Finance from the Symbiosis Institute of Business Management, Pune. He began his illustrious career with ONGC in March 1987 as an Assistant Executive Engineer (Electrical) , where he played a crucial role in the Engineering & Construction Division. His early career was marked by significant contributions to the design, engineering, fabrication, installation, pre-commissioning, and commissioning of offshore facilities, including well platforms, process platforms, and pipelines. He gained rich technical experience of offshore facilities. Thereafter, he enrolled for full time MBA (Finance) program from the Symbiosis Institute of Business Management by availing leave for higher education. After completion of the program, he laterally shifted to Finance discipline in ONGC.
Mr. Tongaonkar grew up along the hierarchy and held several senior roles at ONGC with diverse geographical exposure in Mumbai, Assam, Baroda and Delhi. His expertise encompasses Project Management, Accounts, Audit, Budgeting, Treasury & Investments, Capital Investments, Commercial & Marketing, Taxation, JV Finance, and Strategy. Notably, he also led the Investor Relations Cell at ONGC, further demonstrating his versatility and leadership capabilities. He was part of the select team of officers who formulated ONGC’s Perspective Plan 2030.
Mr. Tongaonkar served as the Executive Director – Chief Corporate Finance at ONGC, overseeing critical financial portfolios and guiding the organization through transformative initiatives. He was also the CFO at ONGC from April 2021 to December 2021. He also served as Executive Director – Chief Offshore Finance in Mumbai, managing the finance functions of ONGC’s largest operational and revenue area. He was instrumental in consolidating the personal claims and accounts payable with system improvements in respect of three Assets resulting optimisation of manpower. His strategic initiatives included centralizing forex procurement that resulted in substantial cost savings and ensuring the continuity of finance operations during the COVID-19 pandemic.
During his leadership stint at MRPL, Mr. Tongaonkar implemented several transformative financial strategies, significantly enhancing the company's financial health and market standing. Noteworthy achievements include the preemptive repayment of high-interest term loans totaling Rs. 3,173 crore, resulting in an annual interest cost saving of approximately Rs. 200 crore and improving the company’s debt -equity ratio. MRPL reduced its debt burden by 25%, de-leveraging the Balance Sheet (D/E Ratio was brought down to 0.94 in FY23-24 from previous year of 1.70). His proactive engagement with the investor community led to a remarkable increase in MRPL's market capitalization, from Rs. 10,623 crore in May 2023 to an all-time high of Rs. 50,700 crore by February 2024, marking a 477% increase.
Under his guidance, the MRPL team sourced low-cost crudes through the Impex team, significantly boosting the Gross Refinery Margin (GRM). During FY23-24, MRPL achieved Gross Refinery Margin of 10.36$/bbl resulting in PBT of Rs. 5,521Crore. For the first time, in FY23-24 MRPL declared an interim dividend at the rate of 10% augmenting the shareholders’ confidence in MRPL. Further, MRPL Board has proposed 20% final dividend for the FY23-24 subject to shareholders’ approval. His strategic focus on capital expenditure (Capex) budget monitoring and investments in key projects ensured the utilization of a Capex budget of Rs. 1,512 crore versus the MoU target of Rs. 820 crore. Furthermore, his interactions with the Comptroller and Auditor General (CAG) ensured that the financial statements for FY 2022-23 received NIL comments.
Shri Tongaonkar, is also the Chairman of Mangalore Special Economic Zone Limited (MSEZL). The net worth of MSEZL turned positive in FY23-24 and it prepaid high interest-bearing term loan to the tune of Rs. 65 Crore, a reduction of around 15% of total outstanding loan. Under his leadership, MSEZL introduced various prudent financial management practices.
ONGC is looking forward to Mr. Tongaonkar’s leadership and expertise as he steps into the role of Director (Finance), driving financial excellence and contributing to the organization's continued growth and success.
Issued By:
Corporate Communications, ONGC
