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ONGC’s discovery, development and production of 98/2 in the world’s toughest geological formations should be brought on to the world stage, observed Minister for Petroleum & Natural Gas and Steel Mr Dharmendra Pradhan, while reviewing the Assets in Andhra Pradesh on 8 November 2019 in Rajahmundry Asset premises.

Petroleum Minister Dharmedra Pradhan interacting with ONGC CMD and other dignitaries
Petroleum Minister Dharmedra Pradhan interacting with ONGC CMD and other dignitaries

Besides the minister, the review meeting was attended by MP (Amalapuram) and Member of Parliamentary Standing Committee on Petroleum and Natural Gas Mrs Chinta Anuradha, MP (Rajahmundry) Ms Margani Bharat, MLC Mr Somu Veeraju and PS to Minister Dr Ajay Kumar, IAS.

CMD interacting with the Minister
CMD interacting with the Minister

Appreciating the technical expertise of ONGC personnel in utilizing the hydrocarbon reserves from the world’s toughest deep water geological zones coupled with high pressures and high temperatures, the Mr Dharmendra Pradhan exhorted ONGC to give utmost attention to the KG offshore and on-land. 

Further, he wanted ONGC to study the recovery and monetization methods adopted for small finds by nations like Malaysia, Vietnam and Indonesia to implement in KG Offshore. Rope in advanced technologies available in the world, he suggested.

Petroleum Minister Dharmendra Pradhan
Petroleum Minister Dharmendra Pradhan

“I want ONGC to monetize eastern offshore finds in a big way by 2022 as per the given timeline and win global recognition. It will be a great occasion for the nation and ONGC employees. I will visit KG on-land and offshore regularly to see the progress of the given schedule.”

Glimpse of the review meeting
Glimpse of the review meeting

In view of the world’s toughest geological complexities and challenges, the minister suggested to the accompanying PS, to examine the policy feasibility of giving freedom of pricing and marketing to ONGC of its KG offshore oil and gas.

Dharmendra Pradhan watering the planted sapling
Dharmendra Pradhan watering the planted sapling

The visiting Minister recommended studying the possibility of replicating the Western offshore model of development for east coast too without compromising on safety. World’s safety standards should be put in place in the offshore development, he underlined. “I am open for new ideas and will render full support to ONGC for developing the KG Offshore.”

The Minister offering puja for prosperity for the nation
The Minister offering puja for prosperity for the nation

Referring to the investments of Rs 40,000 crores in the region in the next few years, the Minister underlined the need for encouraging the local entrepreneurs and propel AP’s economy with ‘Make in India’ spirit. The corporate tax incentive given to the companies recently should be passed on to the local economy, he added.

Dharmendra Pradhan unveiled the inaugural plaque of the GGS
Dharmendra Pradhan unveiled the inaugural plaque of the GGS

For developing and nurturing young talent of Indian Institute of Petroleum and Energy, the Minister has recommended operating at least two departments of the Institute from Kakinada and Rajahmundry, by associating with ONGC to offer practical exposure to the field challenges to the students as to make them industry ready. 

On CSR front, the minister recommended the ONGC to associate with the local people’s representatives while expending on CSR projects. Further, he stated the company should undertake substantive CSR projects in East Godavari to earn goodwill from the people.

CMD Mr Shashi Shanker, on behalf of the Team ONGC, sincerely assured the Minister that ONGC team will leave no stone unturned to achieve the targets set by the Ministry. Earlier in his welcome address, Director (Onshore) Mr Sanjay Kumar Moitra said that ONGC is poised for a big leap of growth under the leadership of the Minister.

CMD explaining the Nagayalanka JV to the Minister on the premises of the project
CMD explaining the Nagayalanka JV to the Minister on the premises of the project

In his thanksgiving address, ED-Asset Manager Rajahmundry Mr R P Patel underlined that ONGC is committed to realize the target set by the Prime Minister – of reducing imports by ten per cent by 2022. ED-Asset Manager Eastern Offshore Mr A J Morbale made an elaborate presentation on the KG Offshore and Mr D K Mathur CGM-Subsurface made a presentation on Rajahmundry Asset.

Earlier in the day, the Minister, accompanied by CMD, Director (Onshore) and ED-Asset Manager Rajahmundry visited Nagayalanka and formally inaugurated the GGS.

The Nagayalanka field is now yielding 1500 barrels of oil per day and 1.5 LCMD of gas from the four wells. In this JV, ONGC is the operator.

Glimpse of the Nagayalanka GGS
Glimpse of the Nagayalanka GGS

For early monetization of the crude, the ONGC has drilled three High Temperature Wells (400 F) of 4500 depths within a year of its formal production launch by CMD in 2018. Parallel to the drilling of wells, ONGC roped in a reputed oil field service provider to establish a GGS to cater to the processing needs of the crude produced from the wells.