Local News, National News

ONGC to invest Rs 3,200 crore to drill 115 wells across eight fields in Tripura

Oil and Natural Gas Corporation (ONGC), the country’s largest petroleum explorer, plans to invest Rs 3,200 crore to drill around 115 wells across eight oil and gas fields in Tripura.

The company said in an application to the environment ministry the proposed 115 development drilling locations are expected to lead to further development of Agartala Dome, Baramura, Kunjaban, Konaban, Manikyanagar, Sundalbari and Sonamura Fields in Sipahijala, West Tripura, North Tripura and Gomati districts of Tripura state.

This can help meet the consumer demand in the future and thereby fulfil the energy requirement of the North-Eastern states, it said.

While gas was discovered in Tripura in the 1970s and commercially viable gas reserves were found in more than 11 structures over time, poor infrastructure and absence of adequate industrial development in the region did not allow full utilisation of gas reserves in the region.

The company expects Tripura asset to produce around 5 million standard cubic meter per day of natural gas and condensate of around eight tonne per day for the next 15 years. ONGC plans to transport the gas produced from Tripura asset to different Group Gathering Station of respective fields.

The company’s Tripura asset has five Gas Collecting Stations (GCS) – Agartala Dome (ADB), Baramura, Konaban, Rokhia & Sonamura for processing well fluids coming from seven developed field.

ONGC accounts for 75 per cent of the country’s natural gas production. It had witnessed a 9 per cent decline in its natural gas production at 1,998 Million Standard Cubic Meter (MMSCM) in December 2019. In the first nine months of the current financial year, the company’s natural gas production declined 2.70 per cent to 17,918 MMSCM.

ONGC’s gas production from Tripura increased 2.62 per cent to 1,174 MMSCM during the April-December period of 2019.

The company had earlier voiced concerns on the country’s natural gas pricing formula for domestically produced gas saying that low prices are acting as a deterrent for monetisation of various gas fields.

Chairman and Managibg Director Shashi Shanker recently said in an interview low gas prices have resulted in the company bearing losses of over Rs 5,100 crore in 2017-2018 and 2018-2019.

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