ONGC gets green nod for Rs 8,110 crore oil and gas project in Andhra Pradesh

Hyderabad: Oil and Natural Gas Corporation Limited (ONGC) is set to invest Rs 8,110 crore for onshore development and production of oil and gas from 172 wells in eight Production Mining License (PML) blocks in Andhra Pradesh.

A committee under the Ministry of Environment, Forest and Climate Change (MoEFCC) has recommended Environmental Clearance (EC) for the project during a meeting held last month, paving the way for one of the company’s major onshore exploration and production projects in the region.

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Environmental clearance and cost details

“The estimated project cost is Rs 8110 crore. Capital cost of EMP (Environment Management Plan) would be Rs. 172 crore and recurring cost for EMP would be Rs. 91.16 Crores per annum. Industry proposes to allocate Rs. 11 crores for commitments made in Public Hearing,” the Expert Appraisal Committee (EAC) said in the minutes of the meeting.

While recommending the EC, the committee directed ONGC to comply with all the environmental protection measures and safeguards proposed in the documents submitted to the Ministry.

“All the recommendations made in the EIA/EMP in respect of environmental management, and risk mitigation measures relating to the project shall be implemented,” the minutes stated.

Safeguards near eco-sensitive zones

The EAC also specified location-based restrictions for the project to protect nearby sensitive habitats. “As committed, no well would be set up within 10 km from the eco-sensitive area of Coringa Wildlife Sanctuary as per the NOC issued in May this year,” the committee noted.

It further directed that “no pipelines or its part shall be laid in the Forest land/Protected Area without prior permission/approval from the Competent Authority.”

With the environmental clearance now recommended, ONGC’s project marks a significant expansion of onshore hydrocarbon production activity in Andhra Pradesh, subject to strict compliance with environmental and wildlife protection norms.

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