ONGC plans to invest Rs 2,150 cr for drilling 53 exploratory wells in AP

Hyderabad: Oil and Natural Gas Corporation Ltd (ONGC) proposes to drill 53 exploratory wells in Andhra Pradesh. It is planning to drill 50 wells in Godavari on-Land PML (Petroleum Mining Lease) Block of KG Basin and three in CD-ONHP-2020/1 (OALP-Vi) Block of Cuddapah basin with an investment outlay of Rs 2,150 crore, the company said in its proposals. The proposals were sent to SEIAA for approval and the company received an environmental clearance from the committee last month.

ONGC plans to drill 50 wells on PML block of KG Basin

ONGC proposes to carry out the onshore exploration of 50 wells during 2021-2028 in Godavari on-land PML block of KG basin in East and West Godavari Districts of AP based on the geological and geophysical studies, said the company in a proposal. "These wells will be converted to development wells and connected to the nearest Early Production System (EPS)/ Gas Collecting Station (GCS) if proved commercially viable," it added.

"A total of Rs 2,000 crore (approximately Rs 40 crore for each well) will be invested in case of KG basin exploratory wells," ONGC said. Currently, it produces 4.4 million standard cubic feet of gas and over 700 tonnes of oil from KG Basin per day.

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ONGC to invest Rs 150 cr to drill 3 wells in Cuddapah basin

"ONGC proposes to carry out the prospecting and exploration drilling in the CD-ONHP-2020/1 block of Cuddapah basin falling in Kurnool, Anantapur and YSR Kadapa districts of AP," it said in another proposal. It also added that the projects will be based on the geological and geophysical studies of the three exploratory locations that will be drilled during the period 2021-24.

"The estimated project cost for the three wells would be Rs 150 crore and it would take three to five months for exploratory drilling at each site," ONGC said.

SEIAA cleared proposals of ONGC last month

Andhra Pradesh State-Level Environment Impact Assessment Authority (SEIAA) in a meeting held last month cleared two separate proposals put up by the ONGC for environmental clearance. "The Committee after examining the project proposals, presentations, MoEF&CC Notifications, OMs and detailed deliberations, recommended to issue environmental clearance with following additional conditions," the SEIAA said while giving its nod. "The proponent shall have the liability to pay compensation to the farmers and property holders in case of damages caused due to operation of wells," it added.

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