ONGC approves Rs3,500 crore investment

05 Mar 2009

The board of Oil and Natural Gas Corp (ONGC) has approved investment of about Rs3,500 crore in additional facilities at its oilfields in Assam and western offshore to boost output.

ONGC also announced five new oil and gas discoveries. New discoveries in West of Bassein, Saurashtra Dahanu, Assam and Tripura.

ONGC will invest Rs2,456.15 crore in re-engineering and revamping the surface facilities at Lakwa and Lakhmani oilfields in Assam, a company press statement said.
 
The first phase of investment would be in a project for surface installation (GGS,GCP,CTF,ETP,WIP& CPP) and associated pipeline network of Lakwa and Lakhmani fields and Moran CTF. The project will sustain production and uninterrupted exploitation for next 25 years and will maintain high standards of safety and environment. The work will be taken up in phased manner.
 
ONGC is also developing PK and South West Panna (SWP) areas under Panna Mukta joint venture, involving investment of $131.60 million (40 per cent share of ONGC of total expenditure of $329 million). The project involves installation of two well head platforms, associated pipelines and drilling of nine wells. These additional facilities will give recovery of 14.50 mmbbls of oil and 21.39 BCF of gas from PK and SWP areas of Panna Field over period of 11 years. The ONGC share from these projects is 5.80 mmbbls of oil and 8.56 BCF of gas.
 
Development of PL area under Panna-Mukta JV involves development of undrained area ''PL'' in southern part of main field. The estimated cost of the project, including pre-development cost is $186.41 million (ONGC share of $74.6 million). Incremental recovery of the order of 8.26 mmbbls of oil and 12.25 BCF of gas (ONGC share of 3.30 mmbbls of oil and 4.90 BCF of gas) has been envisaged in this plan.
 
Panna-Mukta field is being operated by joint venture consortium of ONGC (40 per cent), RIL (30 per cent) and British Gas (30 per cent).