ONGC to set up offshore supply base, processing unit

Hyderabad: Oil and Natural Gas Corporation will set up an integrated offshore supply base cum processing unit near Kona in Andhra Pradesh.

The move is part of ONGC’s efforts to augment and create new oil and gas assets, by opening them in challenging frontiers in deep and extra deep waters.
The Rajahmundry asset of ONGC would implement the project in East Godavari district.

The future activities in the East coast also involved deep water drilling in difficult conditions.

The appraisal plan for KG-DWN-98 indicates an estimated reserve of 7.6 trillion cubic ft of gas. Production from this discovery and Mahanadi may commence from 2012-13.

Mr A.A. Khan, Executive Director and Asset Manager, said the onshore terminal at Odalarevu of Gopavaram will receive end process natural gas from the deep water finds at Vasishtha and S-l fields.

Mr Khan also gave an overview of ONGC’s performance for the first quarter of the current fiscal year to the employees on the occasion. The turnover was Rs 20,123 crore.

Despite a subsidy burden of Rs 9,811 crore, the net profit in the first quarter was Rs 6,036 crore as against Rs 4,611 crore in the corresponding period last year.