ONGC Strikes Again: New Deep-Sea Well in KG Basin Enhances Oil and Gas Output

ONGC has opened a new well in its KG-DWN-98/2 block in the Krishna Godavari basin, boosting crude oil and natural gas production. The state-owned company has started transporting and selling associated gas, aiming for zero gas flaring. This marks a significant milestone in the company's offshore-to-onshore gas export operations.

State-owned Oil and Natural Gas Corporation (ONGC) announced the inauguration of a new well in its deep-sea project within the Krishna Godavari basin, Bay of Bengal, on Sunday.

This new development is a key milestone for ONGC, significantly boosting crude oil and natural gas production from the KG-DWN-98/2 block, also known as the KG-D5 block. The company has leveraged a floating production, storage, and offloading vessel (FPSO) to facilitate the transport and sale of associated gas, reaffirming its commitment to zero gas flaring.

ONGC's efforts in this block, which sits next to Reliance Industries' KG-D6 block, have faced delays due to the COVID-19 pandemic but are now making rapid progress. The production from this and subsequent wells is expected to sharply increase oil and gas output, meeting significant industrial and domestic demands.

(With inputs from agencies.)