ONGC to invest $ 2 billion in Mumbai offshore to increase oil, gas output

24 Feb 2023 , 09:18 AM

According to a company official, ONGC will invest more than USD 2 billion in drilling a record 103 wells on its main gas-bearing asset in the Arabia Sea as part of a turnaround plan that will add 100 million tonnes to production.

ONGC operates three significant assets, namely Mumbai High, Heera and Neelam, and Bassein and Satellite, located off the west coast. These assets were responsible for producing a significant proportion of the total output of 21.7 million tonnes of oil and 21.68 billion cubic meters of gas during the 2021-22 period.

The wells will tap smaller, previously untapped reservoirs, thereby increasing output.

ONGC produces two-thirds of all oil and gas produced in the country, and any additional production would help the country reduce its reliance on imported energy.

Over 85% of crude oil imported into India is converted into fuel such as petrol and diesel in refineries, and roughly half of the natural gas is used to generate electricity, make fertilizer, convert into CNG for automobiles, and piped into household kitchens for cooking.

Kumar stated that B&S’s assets include the prime Bassein gas field, D1, and Tapti-Daman. These currently produce 55,000 to 56,000 barrels of oil per day (2.8 million tonnes) and 28 million standard cubic metres of gas per day.

For feedback and suggestions, write to us at [e-mail]