ONGC to Develop World's 2nd Deepest Hydrocarbon Reservoir in KG Basin

 Oil & Natural Gas Corporation (ONGC) anticipates the submission of the Field Development Plan (FDP) for the world's second-deepest hydrocarbon discovery in the Krishna Godavari (KG) basin by January 2026.

The company oversees the operations of Block KG-DWN-98/2, encompassing Clusters I, II, & III. Cluster III boasts an ultra-deepwater gas discovery, projected to become the second deepest hydrocarbon discovery globally upon monetization. The FDP is slated for submission by January 2026, as affirmed by Minister of State for Petroleum and Natural Gas, Rameswar Teli.

Following hydrocarbon discoveries in a given block, the operator is mandated to submit the FDP for approval by the Directorate General of Hydrocarbons (DGH). Subsequently, the process entails the initiation of production facility development, testing, and eventual commencement of commercial production.

Cluster I is comprised of three discoveries, with FDPs for two of them gaining approval in 2019. Presently, this project is in the developmental stage. In Cluster II, commercial production from a gas field commenced in March 2020, and commercial production of crude oil is scheduled for May 2024. The entire project is anticipated to achieve full completion by 2024.

The KG-DWN-98/2 offshore block has encountered challenges in actual project implementation, including sub-surface geological issues, adjustments in well locations, and challenges related to surface facilities/processing platforms, among others.

News by Rahul Yelligetti