Our capex for development of Western and Eastern Offshore fields for this fiscal is Rs 6,000 crore. It will be funded from internal accruals, a top company official said.
GS 15, a shallow-water field will flow first gas from April next year. G1 will take time as it is a deepwater field, but will start production from April 2011, the official said.
The two fields put together will produce two million standard cubic meters per day (mmscmd) of gas. The onshore oil and gas processing terminal at Odalarevu, on the coast of Andhra Pradesh, is ready, the official said.
The gas to be pumped has still not been tied up for sale, the official said, adding that the company expects to sell it at market determined rates. G1 is situated 28 kilometers off Amalapuram coast in water depths varying from 135 to 500 meters, while GS 15 is situated five kilometers from the coast in KG basin.
Till now, nine exploration wells have been drilled in G1 and eight wells have been drilled in GS 15.
ONGC is concurrently developing Vasishtha and S1 fields in KG basin, which are expected to pump around six mmscmd of gas from 2013 to 2014.
Reservoir pressure at ONGC’s two-decade old fields has decreased with continuous production, prodding it to continue on major development and redevelopment of new and marginal fields in Western Offshore (WO).
In WO, it has started development of C-Series, B-22 Cluster, B-193 Cluster, Heera/South Heera and other marginal fields. The board has also granted the phase II redevelopment of Mumbai High South and Mumbai High North.
After redevelopment of Mumbai High South, our oil and gas output will increase by 3.5 per cent, the official said.
ONGC is targeting gas production of about 60 mmscmd this fiscal, same as in the past three years.
Besides, it pumps 9mmscmd from its joint venture in Panna and Mukta fields in WO.
