KG basin’s offshore block can change the face of economy: ONGC - The Hindu

KG basin’s offshore block can change the face of economy: ONGC

B.V.S. BHASKAR

The oil major ONGC is planning to develop DWN-98/2 offshore block in Krishna-Godavari Basin on fast-track which start production by 2018-19.

“The offshore block 98/2 is in KG Basin, but the landfall would be near Odalarevu village, about 20 km from Amalapuram town. Natural gas reserves in the block are likely to be abundant and will fulfil the requirements of not only Andhra Pradesh, but also the country,” said Debashis Sanyal, Executive Director and Asset Manager of Rajahmundry Asset of ONGC.

In an exclusive interview, Mr. Sanyal recalled that ONGC Chairman and Managing Director D.K. Sarraf in his recent address at an energy convention meet has announced that projects worth Rs. 22,500 crore had been approved in the last six months including DWN 98/2 block in KG Basin. Once the project is through, there would be huge volume of financial output from the offshore block for the ONGC. “It will change the face of India and also Andhra Pradesh in terms of economy,” Mr. Debashis said adding the State would be the first beneficiary once production commenced. Mr. Sanyal admitted that the production was badly affected with Nagaram GAIL pipeline blast. Production which dropped from three million cubic meters per day to 0.02 mcmpd now increased to 1.7 mcmpd. It would take another four months to reach the actual target after GAIL restores all pipelines in Nagaram and other areas in East Godavari district before June. The ED sought the immediate intervention of Krishna district Collector to release ONGC’s regular equipment which was stuck in Kondangi village.