ONGC seeks MoEF nod to drill new wells in KG Basin
Hyderabad (PTI): Public sector oil major, ONGC Ltd has sought the permission of Ministry of Environment and Forest (MoEF) to drill 24 development...
Hyderabad (PTI): Public sector oil major, ONGC Ltd has sought the permission of Ministry of Environment and Forest (MoEF) to drill 24 development wells and to establish production facility in Krishna-Godavari basin, according to a top official.
The drilling work, after getting permission, is likely to be taken up in 2015 as the oil and gas major has completely deployed its entire rigs in the KG Basin. The production facilities are expected to be established at Malleswaram, in Krishna district, the official added.
ONGC has completed exploratory drilling in these wells in 2011 and found the results encouraging. "We have planned five development wells at Malleswaram. Of this three were successful. We will be setting up Early-production facilities (EPFs) there," the official added.
As the company has already conducted the formalities for these wells earlier, the MoEF may not insist on conducting public hearing once again, the official said.A The drilling activity on the development wells will be taken up initially in one kilometre radius and gradually increased, the official added.
"Currently we have five rigs deployed for exploratory wells. We are seeking two more rigs due to the pressure on production targets. Every year we plan for ten wells. The work in these 24 wells will be taken up only after that. However, if any of the well looks more promising drilling can be taken up even early," the official said.
On setting up EPFs at Malleswaram, the official said the EPFs will help bring new discoveries on-stream fast and the system also provides real-time production data that can help the operator appraise reservoir performance before installing more-expensive long-term facilities.
EPFs can also be used for small reserves that would be financially risky or uneconomical to produce with a permanent production facility.A The daily output of ONGC in KG Basin fields stands at 840 tonnes of oil per day and 3.5 million metric standard cubic metres per day (MMSCFD) of gas.