"ONGC Successfully Initiates Oil Production from East Coast Block"

ONGC Ends Speculations with Successful Commencement of Oil Flow from East Coast Block

Putting an end to all speculations, ONGC (Oil and Natural Gas Corporation) has officially initiated the flow of oil from its deep-water KG-DWN-98/2 Block on the east coast. The public sector giant made the announcement in a recent statement, declaring the start of "First Oil" from the KG-DWN-98/2 Block, strategically located off the coast of the Bay of Bengal.

The KG-DWN-98/2 project is poised to significantly boost ONGC's overall oil and gas production, with an anticipated increase of 11 percent and 15 percent, respectively. ONGC highlighted its success in overcoming various technological and COVID-related challenges during the execution of Phase 1, which concluded in March 2020 with the timely commencement of gas production from the U field of the KG-DWN-98/2 Block within a record 10-month timeframe.

As of January 7, 2024, the company has achieved the milestone of First Oil, marking the near completion of Phase 2 and leading to the commencement of oil production from the 'M' field of KG-DWN-98/2. The project remains on track, with the remaining oil and gas fields of the block scheduled to begin production by mid-2024.

ONGC stated, "Peak production of the field is expected to be 45,000 barrels of oil per day (bopd) and over 10 MMSCMD of gas." The company's successful progress in the KG-DWN-98/2 project reaffirms its commitment to strategic energy initiatives despite the challenges faced.

HBL