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ONGC’s ultra-deepwater find of 2007 in the east coast shows significant hydrocarbons potential, if the tests are any indication.
The public sector major has recently concluded the testing of UD1 well in its KG-DWN-98/2 block and the results show more than 8.5 lakh cubic metre a day (close to one mmscmd) of gas.
“If this is just from one well, imagine the quantum we are looking at, if further activities are undertaken,” an official in the know of the development said.
UD1 is the first ultra deepwater well drilled in the country, and ONGC had to put on hold further work in this area due to the technological challenges. However, with the timeline defined in the production sharing contract for completing each task, ONGC had to do testing or else it would have had to surrender the area to the government.
To monetise its discoveries in the block, which is adjacent to Reliance Industries Ltd-operated KG-D6, ONGC had to divide the block into two areas – North and South. While it is going ahead with its Northern area discovery, it has put on hold its southern area where UD1 falls.
ONGC had wanted to adopt a cluster approach for its East Coast discoveries (estimated at 11) and had submitted a development plan to the Directorate-General of Hydrocarbons (DGH) in 2012.
But with the drop in Reliance Industries’ D6 block output, the public sector operator was asked to come up with a more detailed development plan.
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