Major Gas Reserves Discovered By ONGC In Mahanadi Basin
In a significant stride towards bolstering India's energy security, the state-owned Oil and Natural Gas Corporation (ONGC) has successfully unearthed two substantial natural gas reserves within the Mahanadi basin block in the Bay of Bengal.
This milestone marks the fruition of ONGC's strategic foray into high-risk deep-water exploration.
The groundbreaking discoveries were made within the block MN-DWHP-2018/1, secured by the Maharatna company in the third round of auctions under the open acreage licensing policy in 2019, according to media reports.
The exploration took place in an area previously designated as a 'no-go' zone due to national security interests. The first discovery, named Utkal, is situated in waters with a depth of 714 metres, exhibiting an initial testing flow rate exceeding 3 lakh cubic metres per day of gas. The second find is located at a water depth of 1,110 metres.
Having promptly informed the upstream regulator Directorate General of Hydrocarbons (DGH), ONGC is currently engaged in assessments of pool size and commercial viability.
This breakthrough is poised to significantly enhance India's energy security, addressing a critical aspect as the nation presently imports nearly half of its gas requirements. India's ambitious goal to elevate the share of natural gas in its energy mix to 15 percent by 2030, up from the current 6.3 percent, is anticipated to receive substantial support from increased domestic production.
Natural gas has long been identified as a crucial element in India's transition towards achieving a net-zero carbon emission target by 2070.
With a lower carbon footprint compared to conventional fossil fuels, natural gas is utilised in electricity generation, fertiliser production, as well as in the form of compressed natural gas (CNG) for automotive fuel and piped to households for cooking.
The recent success story was made possible following the government's decision to liberate over one lakh square kilometres of the area from restrictions on exploration and production of oil and gas.
Previously designated as 'no-gas' areas due to their interference with missile testing or satellite launch routes, more than 98 percent of these restrictions were lifted in 2022, granting energy companies the opportunity to deploy vessels and drillships for oil and gas exploration.
