ONGC plans to invest Rs 2,150 crore on 53 exploratory wells in Andhra Pradesh
New Delhi: State-owned Oil and Natural Gas Corporation Ltd (ONGC) plans to drill 53 exploratory wells in Andhra Pradesh—50 in Godavari on-land petroleum mining lease, or PML block of KG basin, and three in CD-ONHP-2020/1 (OALP-VI) block of the Cuddapah basin with an investment of Rs 2,150 crore.
The Andhra Pradesh State-Level Environment Impact Assessment Authority (SEIAA) in a meeting held last month has cleared two separate proposals put up by the ONGC for environmental clearance.
ONGC currently produces 4.4 million standard cubic feet of gas and over 700 tonnes of oil from the KG basin per day. According to the company, it proposes to carry out the onshore exploration of 50 wells during 2021-'28 in Godavari on-land PML block of KG basin in East and West Godavari districts, based on the geological and geophysical studies.
A total of Rs 2,000 crore, nearly Rs 40 crore for each well” on 50 wells in the Godavari basin, and about Rs 150 crore on three wells in the Cuddapah basin, would be invested, ONGC said, adding it would take three-five months for exploratory drilling at each well site.
It further said that these wells are expected to be converted into development wells and connected to the nearest early production system (EPS)/ gas collecting station (GCS), if proved commercially viable.
